On January 1,2022, Industries had outstanding 400,000 common stock shares ( $1 par) that originally sold for $20 per share and 12,000 shares (\$100 par), 9% cumulative, convertible preferred stock. Each preferred stock is convertible into 6 shares of common stock. On August 1, 2022, issued and sold an additional 60,000 shares of common stock at $46/ share. At December 31, 2022, there were 100,000 incentive stock options outstanding, issued in 2021, and exercisable after one year for 100,000 common stock shares at an exercise price of $30 per share. The stock options expire on December 31, 2025. Industries also had convertible bonds. The convertible bonds were issued in 2020 , had a face value of $300,000, and a stated interest rate of 8%. The bonds are convertible into 15,000 shares of common stock. The market price at year-end 2022 was $42 per share. During the year the average common stock price was $40 per share. Net income was $750,000 for 2022 . The income tax rate was 25% for 2022 . REQUIRED: 1) Compute basic earnings per share for 2022. 2) Compute diluted earnings per share for 2022. Show your calculations for all dilutive items. 3) Identify the Order of Inclusion for dilutive securities