Carla Inc. had 508,000 common shares outstanding for the entire fiscal year ended August 31, 2020. Carla has 109,000 outstanding $3 cumulative, no- par value preferred shares. All shares were outstanding for the full year. Options were written at the start of the fiscal year to purchase 32,000 common shares at $15 per share. The average market price of Carla's common shares during the year ended August 31, 2020 was $25 per share. The options expire in 2029, and none were actually exercised during the current year. Also outstanding for the entire year was a 8% bond with a face value of $5,100,000, convertible to 132,600 common shares. Carla Inc.'s net income for the year was $2,714,600, and the income tax rate for the fiscal year was 40%. (For simplicity, ignore the requirement to record the debt and equity portions of the convertible bond separately). Calculate the income effect of the dividends on preferred shares. $ Dividends on preferred shares e Textbook and Media Calculate Carla Inc.'s basic earnings per share for the year ended August 31, 2020. (Round answer to 2 decimal places, e.g. 15.25.) $ Basic EPS e Textbook and Media Calculate the after-tax interest paid on the 8% bonds. $ After-tax interest on bonds converted e Textbook and Media $ After-tax interest on bonds converted e Textbook and Media Determine an incremental per share effect for 8% bonds. (Round earnings per share to 2 decimal places, e.g. 15.25.) Incremental Numerator Effect Incremental Denominator Effect Potentially dilutive security EPS 8% Bonds $ $ e Textbook and Media Calculate the proceeds from assumed exercise of 32,000 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 e Textbook and Media Rank the potentially dilutive securities from most dilutive to least dilutive. 8% bonds Options e Textbook and Media Calculate Carla Inc.'s diluted earnings per share for the year ended August 31, 2020. (Round calculations of EPS to 3 decimal places, eg. $3.545 and provide final answer to 2 decimal places, eg. 15.25.) Numerator Denominator EPS Basic EPS $ $ Sub Total $ $ $ Diluted EPS