Mohamed Corporation has net income for the year of $360,000 and a weighted average number of common shares outstanding during the period of 125,000 shares. The company has a covertible debenture bond issue outstanding. The bonds were issued two years ago at par ($1,500,000), carry a 7% interest rate, and are convertible into 25,000 shares of common stock. The company has a 40% rax rate. Diluted earnings per share are