Consider the following income statement and other information:

Luther Corporation

Consolidated Income Statement

Year ended December $31($in $ millions$)$

$20122011$

Total sales $610\mathrm{.}1578\mathrm{.}3$

Cost of sales $(500\mathrm{.}2)(481\mathrm{.}9)$

Gross profit $109\mathrm{.}996\mathrm{.}4$

Selling, general, and

administrative expenses $(40\mathrm{.}5)(39\mathrm{.}0)$

Research and development $(24\mathrm{.}6)(22\mathrm{.}8)$

Depreciation and amortization $(3\mathrm{.}6)(3\mathrm{.}3)$

Operating income $41\mathrm{.}231\mathrm{.}3$

Other income $------$

Earnings before interest and taxes $($EBIT$)41\mathrm{.}231\mathrm{.}3$

Interest income $($expense$)(25\mathrm{.}1)(15\mathrm{.}8)$

Pretax income $16\mathrm{.}115\mathrm{.}5$

Taxes $(5\mathrm{.}5)(5\mathrm{.}3)$

Net income $10\mathrm{.}610\mathrm{.}2$

Price per share $$16$ $$15$

Shares outstanding $($millions$)10\mathrm{.}28\mathrm{.}0$

Stock options outstanding $($millions$)0\mathrm{.}30\mathrm{.}2$

Stockholders' Equity $126\mathrm{.}663\mathrm{.}6$

Total Liabilities and Stockholders' Equity $533\mathrm{.}1386\mathrm{.}7$

$4.$ For the year ending December $31,2012,$ Luther's earnings per share are closest to:

A$)$ $$1\mathrm{.}01$

B$)$ $$1\mathrm{.}04$

C$)$ $$1\mathrm{.}58$

D$)$ $$4\mathrm{.}04$

$5.$ Assuming that Luther has no convertible bonds outstanding, then for the year ending December $31,2012,$ Luther's diluted earnings per share are closest to:

A$)$ $$1\mathrm{.}01$

B$)$ $$1\mathrm{.}04$

C$)$ $$1\mathrm{.}53$

D$)$ $$3\mathrm{.}92$