The Duckworth Ltd. 2015 financial statements include the following:

Statement of comprehensive income Year ended 31 December 2015

Earnings from continuing operations $ 3,156,000

Discontinued operations (net of tax) 522,000

Net earnings and comprehensive income $ 3,678,000

Statement of financial position 31 December 2015

Bonds payable, 5%, nonconvertible $ 11,800,000

Preferred shares, no-par value, $1.08, nonconvertible, noncumulative, outstanding during year, 680,000 shares 11,800,000

Common shares, no-par value:

Outstanding 1 Jan., 35,800,000 shares $ 7,270,000

Sold and issued 1 April, 3,330,000 shares 1,580,000

Issued 10% stock dividend, 30 Sept., 3,913,000 share 1,670,000 10,520,000

Retained earnings 7,928,000

The company declared and paid preferred dividends of $38,000 during the year and had an effective tax rate of 25%.

Required:

1. Compute basic Earning Per Share. (Do not round intermediate calculations. Round your answer to 2 decimal places.)

2. Repeat requirement 1, assuming that the preferred shares are cumulative. (Do not round intermediate calculations. Round your answer to 2 decimal places.)