Please review and provide an answer for the diluted section please. Thank you in advance for your assistance!

Chapter 6 0 Saved 2 The following separate income statements are for Burks Company and its 80 percentowned subsidiary, Foreman Company: Burks Foreman 4 Revenues $(426,000) \"326,000) . t Expenses 360,000 238,360 p'\"5 Gain on sale of equipment 0 (28,000) Equity earnings of subsidiary (65,000) 0 Net income $(131,000) $(116,000) El Outstanding common shares 50.000 35.3% eBook E Additional Information Print - Amortization expense resulting from Foreman's excess acquisitiondate fair value is $38,000 per year. IE 0 Burks has convertible preferred stock outstanding. Each of these 7,000 shares is paid a dividend of $6 per year. Each share can be converted into six shares of common stock. - Stock warrants to buy 14,000 shares of Foreman are also outstanding. For $10, each warrant can be converted into a share of Foreman's common stock. The fair value ofthis stock is $20 throughout the year. Burks owns none of these warrants. . Foreman has convertible bonds payable that paid interest of $43,000 (after taxes) during the year. These bonds can be exchanged for 14,000 shares of common stock. Burks holds 20 percent of these bonds, which it bought at book value directly from Foreman. References Compute basic and diluted EPS for Burks Company. (Round your intermediate percentage value and final answer to 2 decimal places.)