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On January 2, 2021, L Co. issued at face value $20,500 of 3% bonds convertible in total into 1,100 shares of L's common stock. No bonds were converted during 2021. Throughout 2021, L had 1,100 shares of common stock outstanding. L's 2021 net income was $2,500. L's income tax rate is 20%. No potential common shares other than the convertible bonds were outstanding during 2021. L's diluted earnings per share for 2021 would be: Multiple Choice $2.27 51.42 $1.36. $114