Power Corporation owns $75$ percent of Transmitter Company$$s common stock. At the date of acquisition the fair value of the noncontrolling interest was equal to the book value of Transmitter Company$$s common stock. The following balance sheet data are presented for December $31,20$X$8$:

Power Corporation Transmitter Company

Cash $ $90,000$ $ $60,000$

Accounts Receivable $70,00085,000$

Inventory $140,000105,000$

Land $100,00080,000$

Buildings and Equipment $1,000,000700,000$

Less: Accumulated Depreciation $(500,000)(280,000)$

Investment in Transmitter Company Stock $300,000$

Total Assets $ $1,200,000$ $ $750,000$

Accounts Payable $ $150,000$ $ $50,000$

Bonds Payable $300,000200,000$

Preferred Stock $($$$100$ par value$)100,000$

Common Stock $($$ $10$ par value$)500,000200,000$

Retained Earnings $250,000200,000$

Total Liabilities and Equities $ $1,200,000$ $ $750,000$

Transmitter reported net income of $$90,000$ in $20$X$8$ and paid dividends of $$30,000.$ Its bonds have an annual interest rate of $10$ percent and are convertible into $12,000$ common shares. Its preferred shares pay a $12$ percent annual dividend and convert into $5,000$ shares of common stock. In addition, Transmitter has warrants outstanding for $12,000$ shares of common stock at $$15$ per share. The $20$X$8$ average price of Transmitter common shares was $$25.$

Power reported income of $$180,000$ from its own operations for $20$X$8$ and paid dividends of $$40,000.$ Its $9$ percent bonds convert into $8,000$ shares of its common stock. The companies file separate tax returns and are subject to income taxes of $40$ percent.

$1.$ Compute basic earnings per share for the consolidated entity for $20$X$8.2.$Compute diluted earnings per share for the consolidated entity for $20$X$8.$