Question Two The controller at South West Industries, a public company, is preparing the calculation for basic and diluted earnings per share$$ and the related disclosure for South West$$s financial statements. The following is selected$$ financial information for the fiscal year end December $31,2025.$ Long term debt Notes payable, $6\%$ $$1,440,0007\%$ convertible bonds$7,200,0009\%$ bonds payable$5,760,000$ Total long term debt$$ $$14,400,000$ Shareholder$$s Equity Preferred shares, convertible,$$ $$6,00$ cumulative, $200,000$ Shares authorized, $36,000$ shares issued $$And$$ Outstanding $$ $$1,800,000$ Common shares, unlimited authorized, $720,000$ shares issued$$ and$$ Outstanding$6,840,000$ Contributed$$ surplus$$ conversion rights $360,000$ Retained$$ earnings$6,120,000$ Total shareholders$$ equity$$ $$15,120,000$ The following transactions occurred at South West: $1.$ Options$$ were granted by the company to purchase $36,000$ common shares at$$ $$14$ per share. No options have been exercised and the average price of the common shares in $2025$ was $$21.2.$ The$$ convertible, cumulative$$ $$6\mathrm{.}00$ preferred shares were issued in $2023$ and are convertible into two common shares. $3.$ The bonds were issued at face value. The $7\%$ convertible bonds will convert into common shares at $48$ shares per $$1,000$ bond. $4.$ There are no preferred dividends in arrears, and preferred dividends were not declared in $2025.5.$ The$$ following$$ common share transactions occurred during the year. Jan $1609,200$ shares outstanding May $1$ Issued $72,000$ common shares June $30$ Issued a $5\%$ stock dividend September$30$ Acquired$21,600$ common shares November $1$ Issued $26,340$ common shares $6.$ Net income for fiscal year $2025$ was $$1,512,000$ and the average income tax rate was $25\%.$ Required: Calculate$$ basic$$ and$$ diluted earnings per share. Please present basic earnings per share in table format $($See Ex$.17\mathrm{.}14-$part c is an example of the table presentation$).$ Please rank your calculations for diluted earnings per share and present earnings per share in table format from most to least dilutive.