Sherbrook Pizza Inc. (SPI) was incorporated on January 1, 2018. Its capital structure included 5,000 ordinary shares; 1,000, $100, 4%, non-cumulative preferred shares; and 10,000 options on ordinary shares with a strike price of $10. SPI’s net income (loss) for the year ended December 31, 2018, was ($10,000), consisting of a loss from continuing operations of ($50,000) and earnings from discontinued operations of $40,000. Dividends were neither declared nor paid in 2018. The average market price of its shares during the year was $12.50. 

Required:

Compute basic earnings per share and diluted earnings per share from each of continuing operations, discontinued operations, and operations.