Monty Inc had 502,000 common shares outstanding for the entire fiscal year ended August 31, 2020. Monty has 106,000 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 30,000 common shares at $17 per share. The average market price of Monty'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 7% bond with a face value of $4,600,000, convertible to 119,600 common shares. Monty Inc's net income for the year was $2,702,500, 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 Calculate Monty Inc's basic earnings per share for the year ended August 31, 2020. (Round answer to 2 decimal places, eg. 15.25.) Basic EPS eTextbook and Media Calculate the after-tax interest paid on the 7% bonds. $ After-tax interest on bonds converted e Textbook and Media Determine an incremental per share effect for 7% bonds. (Round earnings per share to 2 decimal places, es. 15.25.) Incremental Numerator Effect Incremental Denominator Effect EPS Potentially dilutive security $ 7% Bonds e Textbook and Media Calculate the proceeds from assumed exercise of 30,000 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. 7% bonds Options e Textbook and Media Calculate Monty 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