The financial statements of B Company at December 31 20-1 show Ordinary Stocks of P 500,000 (P100 par), 10%, cumulative, non convertible Preference Shares amounting to P 100,000 (P50 par) and a net income of P 150,000. On this date, the Notes to Financial Statements reveal also that the company has outstanding stock options to acquire 12,000 ordinary shares for P 90.00 per share. Fair values of B Co. ordinary stocks for 20-1 are P 110 on January 1, P 130 on October 31, P 125 at year end and on the average is P 120. Options were left unexercised at December 31 and the company is subject to 40% tax. On October 1, 20-1, the company issued 100, P 1,000 par value 10% convertible bonds at 105. Bondholders may acquire 10 ordinary shares for each bond held.

Basic Earnings per share is nearest to

Answer: P 28.00

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