The information below pertains to Miami Company for $2025.$

Net income for the year

$7\%$ convertible bonds issued at par $($ $$1,000$ per bond$)$; each bond is convertible into

$20$ shares of common stock $($issued in a prior year$)$

$1,500,000$

$8\%$ convertible, cumulative preferred stock, $$100$ par value; each share is convertible

into $5$ shares of common stock $($issued in a prior year$)$

Tax rate for $2025$

Average market price of common stock

There were $1,000,000$ shares of shares of common stock outstanding on $\frac{1}{1}\frac{?}{2025}.$ On June $1,2025,$ the company

issued $120,000$ common shares. There were no changes in the number of preferred shares, or convertible bonds

outstanding. There was no treasury stock. The company also has common stock options $($granted in a prior year$)$ to

purchase $100,500$ shares of common stock at $$25$ per share.

Required:

Compute basic earnings per share for $2025.$

Compute diluted earnings per share for $2025.$