On January 1, 20X1, Woodruff Company had 600,000 shares of common stock outstanding. On September 1, 20X1, an additional 400,000 shares of common stock were issued. In addition, Woodruff had $20,000,000 of 8% convertible bonds outstanding throughout the year. These bonds are convertible into 400,000 shares of common stock. The net income for the year ended December 31, 20X1, was $7,000,000. The income tax rate is 40%. What is Woodruff's diluted earnings per share for the year ended December 31, 20X1? $7.02 $7.59 $5.00 $6.18