Use the Table for the Question(s) Below -Refer to the Income Statement Above

Multiple Choice

Use the table for the question(s) below.
$\begin{array} { c } \text { Luther Corporation }\\ \text { Consolidated Income Statement }\\ \text { Year ended June 30 (in \$ millions) }\\\begin{array} { lll }&2012&2011\\\hline \text { Total sales } & 610.1 & 578.3 \\\hline \text { Cost of sales } & (500.2) & (481.9) \\\hline \text { Gross profit } & 109.9 & 96.4 \\\hline \text { Selling, general, and } & \\\text { administrative expenses } & (40.5) & (39.0) \\\hline \text { Research and development } & (24.6) & (22.8) \\\hline \text { Depreciation and amortisation } & (3.6) & (3.3) \\\hline \text { Operating income } & 41.2 & 31.3 \\\hline \text { Other income } & --- & -- \\\hline \text { Earnings before interest and taxes (EBIT) } & 41.2 & 31.3 \\\hline \text { Interest income (expense) } & (25.1) & (15.8) \\\hline \text { Pretax income } & 16.1 & 15.5 \\\hline \text { Taxes } & (5.5) & (5.3) \\\hline \text { Net income } & 10.6 & 10.2 \\\hline\\\hline \text { Price per share } & \$ 16 & \$ 15 \\\hline \text { Shares outstanding (millions) } & 10.2 & 8.0 \\\hline \text { Share options outstanding (millions) } & 0.3 & 0.2 \\\hline\\\hline \text { Shareholders' Equity } & 126.6 & 63.6 \\\hline \text { Total Liabilities and Shareholders' Equity } & 533.1 & 386.7 \\\hline\end{array}\end{array}$

-Refer to the income statement above. Assuming that Luther has no convertible bonds outstanding, then for the year ending 30 June 2012, Luther's diluted earnings per share are closest to:

A) $1.53
B) $1.04
C) $1.01
D) $3.92