1. Options were granted/written in 2019 that give the holder the right to purchase 107,800 common shares at $8 per share. The average market price of the company's common shares during 2020 was $14 per share. The options expire in 2028 and no options were exercised in 2020. 2. The 4% bonds were issued in 2019 at face value. The 6% bonds were issued on June 1, 2020, at face value. Each bond has a face value of $1,000 and is convertible into 100 common shares. 3. The convertible preferred shares were issued at the beginning of 2020 . Each share of preferred is convertible into one common share. 4. The average income tax rate is 25%. 5. The common shares were outstanding during the entire year. 6. Preferred dividends were not declared in 2020 . 7. Net income was $2,629,900 in 2020 . 8. No bonds or preferred shares were converted during 2020 . Calculate the income effect of the dividends on preferred shares. Dividends on preferred shares $ Calculate basic earnings per share for 2020 . (Round answer to 2 decimal places, e.g. 15.25.) BasicEPS \$ Determine an incremental per share effect for $0.72 preferred shares. (Round answer to 2 decimal places, e.g. 15.25.) Calculate the proceeds from assumed exercise of 107,800 options. Proceeds from exercise of options $ Calculate the incremental shares oustanding upon the exercise of options. The incremental shares oustanding upon the exercise of options Calculate the after-tax interest paid on the 4% bonds. After-tax interest on 4% bonds converted \$ Determine an incremental per share effect for 4% bonds. (Round earnings per share to 2 decimal places, e.g. 15.25.) Calculate the after-tax interest paid on the 6% bonds. After-tax interest on 6% bonds converted $ Determine an incremental per share effect for 6% bonds. (Round earnings per share to 2 decimal places, e.g. 15.25.) Rank the potentially dilutive securities from most dilutive to least dilutive. Calculate diluted earnings per share for 2020 . (Round earnings per share to 2 decimal places, e.g. 15.25.) 1. Options were granted/written in 2019 that give the holder the right to purchase 107,800 common shares at $8 per share. The average market price of the company's common shares during 2020 was $14 per share. The options expire in 2028 and no options were exercised in 2020. 2. The 4% bonds were issued in 2019 at face value. The 6% bonds were issued on June 1, 2020, at face value. Each bond has a face value of $1,000 and is convertible into 100 common shares. 3. The convertible preferred shares were issued at the beginning of 2020 . Each share of preferred is convertible into one common share. 4. The average income tax rate is 25%. 5. The common shares were outstanding during the entire year. 6. Preferred dividends were not declared in 2020 . 7. Net income was $2,629,900 in 2020 . 8. No bonds or preferred shares were converted during 2020 . Calculate the income effect of the dividends on preferred shares. Dividends on preferred shares $ Calculate basic earnings per share for 2020 . (Round answer to 2 decimal places, e.g. 15.25.) BasicEPS \$ Determine an incremental per share effect for $0.72 preferred shares. (Round answer to 2 decimal places, e.g. 15.25.) Calculate the proceeds from assumed exercise of 107,800 options. Proceeds from exercise of options $ Calculate the incremental shares oustanding upon the exercise of options. The incremental shares oustanding upon the exercise of options Calculate the after-tax interest paid on the 4% bonds. After-tax interest on 4% bonds converted \$ Determine an incremental per share effect for 4% bonds. (Round earnings per share to 2 decimal places, e.g. 15.25.) Calculate the after-tax interest paid on the 6% bonds. After-tax interest on 6% bonds converted $ Determine an incremental per share effect for 6% bonds. (Round earnings per share to 2 decimal places, e.g. 15.25.) Rank the potentially dilutive securities from most dilutive to least dilutive. Calculate diluted earnings per share for 2020 . (Round earnings per share to 2 decimal places, e.g. 15.25.)