Please demonstrate exercise 16.25 in its entirety. Please include all work and explain each step you took to find solutions for retention purposes. Thank you so much!

E16.25 (LO 5) (EPS with Convertible Bonds and Preferred Stock) On January 1, 2020, Crocker Company issued 10 -year, $2,000,000 face value, 6% bonds, at par. Each $1,000 bond is convertible into 15 shares of Crocker common stock. Crocker's net income in 2020 was $400,000, and its tax rate was 20%. The company had 100,000 shares of common stock outstanding throughout 2020 . None of the bonds were converted in 2020 . 8 CHAPTER 16 Dilutive Securities and Earnings per Share Instructions a. Compute diluted earnings per share for 2020 . b. Compute diluted earnings per share for 2020, assuming the same facts as above, except that $1,000,000 of 6% convertible preferred stock was issued instead of the bonds. Each $100 preferred share is convertible into 5 shares of Crocker common stock