The following information is taken from Tri-Facet Ltd.s December 31, 20 2021 balance sheet:

Liabilities:

7% Bonds payable, $5,200,000, maturing November 30 2025, each $1,000 bond convertible into 30 common shares at any time up to November 30, 2025 $5,200,000

Shareholders ' Equity :

6% Cumulative preferred shares, convertible at the rate of 4 common shares for 1 preferred share, 42,190 shares

outstanding 879,000

Common shares, 3,075,000 shares issued and outstanding 3,600,000

Tri- Facet had net income for the 2021 year of $7,254,500 . Tri-Facet pays income tax at a rate of 25%. Both the bonds and the preferred shares were outstanding for the entire year. The weighted average number of common shares outstanding for the 2021 year was 3, 472, 600 .

Required:

1. Calculate basic earnings per share for Tri-Facet Ltd. for the year ending December 31, 2021.

2. Calculate diluted earnings per share for Tri-Facet Ltd. for the year ending December 31,2021.