XYZ Co. has Net Income of $360,000. The weighted average number of shares outstanding for the period is 112,500 . Basic earnings per share is $3.2 Also outstanding during the year is 50,000 options to purchase Common Stock at $30 per share. The average market price per share during the year is \$40 per share. Compute XYZ Co.'s Diluted Earnings Per Share using the Treasury Method