The following are selected details of Expression Limited's capital structure as at January 1, 2021:

200,000 ordinary shares issued and outstanding.

100,000 cumulative preference shares "A" that are each entitled to dividends of $4.00 per annum.

50,000, $100 non-cumulative preference shares "B" with a stated dividend rate of 3% per annum. At the option of the holder, each preference share can be converted into two ordinary shares on December 31, 2026.

Bonds C $1,000,000, 6%, semi-annual bonds maturing December 31, 2025.

Bonds D $2,000,000, 5%, semi-annual bonds maturing June 30, 2031. At the option of the holder, each $1,000 bond can be converted into 10 ordinary shares at any time between January 1, 2026, and December 31, 2026.

Bonds E $500,000, 3% , semi-annual bonds maturing December 31, 2026. At the option of the holder, each $1,000 bond canbe converted into eight ordinary shares.

Option F grants the holder the right to purchase 10,000 ordinary shares at any time before December 31, 2024, for $20 pershare.

Option G grants the holder the right to purchase 5,000 ordinary shares for $12 per share. The option expires on December31, 2022.

During the year Expression issued ordinary shares as follows:

March 1, 2021 issued 20,000 ordinary shares.

October 1, 2021 issued 10,000 ordinary shares.

December 1, 2021 declared and distributed a 20% stock dividend.

Expression was subject to a 30% tax rate. Its net income for the year ended December 31, 2021, totalled $1,339,000. During the year, Expression declared and paid the stated dividends on both classes of preference shares as well as $200,000 of dividends on its ordinary shares. The average market price in 2021 for Expressions ordinary shares was $15.

The recorded exercise prices and number of shares under the stock options plans that can be acquired have already been adjusted for the stock dividend. Similarly, the recorded conversion factor for the convertible bonds and preferred shares have alreadybeen adjusted for the stock dividend. Assume that the effective rate of interest on the bonds equals the coupon rate.

Required:

(a)Calculate Expressions basic EPS for the year ended December 31, 2021.

(b)For each security that is convertible into ordinary shares, evaluate its dilutive effect in terms of its effects on income available to ordinary shareholders, number of outstanding shares and EPS. Where the security may be anti-dilutive, stateand explain.

(c) Calculate Expressions diluted EPS for the year ended December 31, 2021.

Please provide steps as well!