The controller at NorthEast Industries, a public company, is preparing the calculation for basic and diluted earnings per shareand the related disclosure for NorthEast's financial statements. The following is selectedfinancial information for the fiscal year end December 31, 2020.

Long term debt

Notes payable, 6%$1,440,000

7% convertible bonds7,200,000

9%bonds payable5,760,000

Total long term debt$14,400,000

Shareholder's Equity

Preferred shares, convertible,$6,00 cumulative,

200,000 Shares authorized, 36,000 shares issued

AndOutstanding $1,800,000

Common shares, unlimited authorized, 720,000

shares issuedandOutstanding 6,840,000

Contributedsurplusconversion rights 360,000

Retainedearnings6,120,000

Total shareholders'equity$15,120,000

The following transactions occurred at NorthEast:

1.Optionswere granted by the company to purchase 36,000common shares at$14 per share. No options have been exercised and the average price of the common shares in 2016 was $21.

2.Theconvertible, cumulative$6.00 preferred shares were issued in 2018 and are convertible into two common shares.

3.The bonds were issued at face value. The 7% convertible bonds will convert into common shares at 48 shares per $1,000 bond.

4.There are no preferred dividends in arrears, and preferred dividends were not declared in 2020.

5.The followingcommon share transactions occurred during the year.

Jan 1609,200shares outstanding

May 1Issued 72,000 common shares

June 30Issued a 5% stock dividend

September30Acquired21, 600common shares

November 1Issued 26,340 common shares

6.Net income for fiscal year 2020 was $1,512,000 and the average income tax rate was 25%.

Required:

Calculatebasicanddiluted earnings per share. Please present basic earnings per share in table format. Please rank your calculations for diluted earnings per share and present earnings per share in tableformatfrom most to least dilutive.