(b) Calculate the diluted earnings per share for 2019.

James Company had $1,644,500 net income in 2019. On 1 January 2019, there were 500,000 ordinary shares outstanding. During the year, the company has recorded the following transactions: 1 April : issued 20,000 ordinary shares 1 May : 2-for-1 share splits 1 July: issued 100,000 5% noncumulative and nonconvertible preference shares 1 October: repurchased 15,000 treasure shares at $35 James issued $1,000,000 of 9% convertible bonds at face value during 2018. Each $1,000 bond is convertible into 50 ordinary shares. Top executives were granted 20,000 options to buy ordinary shares at $40 if the net income is over $900,000. The beginning and ending market price of the ordinary shares was $48 and $52 respectively during the year 2019. At the financial year-end, the company declared and paid $5 cash dividends to all ordinary shareholders and the relevant corporate tax rate was 40%