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Hayward Corporation had net income of $$50,000$ for the year ended December $31,2023,$ and weighted average number of common shares outstanding of $10,000.$ The following information is provided regarding the capital structure: $1.7\%$ convertible debt. $200$ bands each convertible into $40$ common shares. The bonds were outstanding for the entire year. The income tax rate is $25\%.$ The bonds were issued at par $($$$1,000$ per bond$).$ No bonds were converted during the year $2.4\%$ convertible, cumulative $$100$ preferred shares, $1,000$ shares issued and outstanding. Each preferred share is convertible into two common shares. The preferred shares were issued at par and were outstanding the entire year. No shares were converted during the year. Instructions a$.$ Calculate the basic earnings per share for $2023.$ Round to the nearest cent. b$.$ Briefly explain the if$-$converted method. c$.$ Calculate the diluted earnings per share for $2023,$ using the if$-$converted method. For simplicity, ignore the requirement to record the debt and equity components of the bonds separately. Round to the nearest cent. Use the three$-$step process in arriving at your answers. Describe each step as you proceed to the final answer. d$.$ In Excel, create a waterfall chart that shows the steps between basic EPS and dilutive EPS and the dollar amount of the decrease for each dilutive step e$.$ Digging Deeper When Hayward issued the $7\%$ convertible debt, would the company's interest rate on straight debt have been higher or lower than $7$X$7$ Explain your answer

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