Selected financial data for ABC Company is presented below.

· For the year just ended ABC has net income of $5,300,000.

· $5,500,000 of 7% convertible bonds were issued in the prior year at a face value of $1,000. Each bond is convertible into 50 shares of common stock. No bonds were converted during the current year.

· 50,000 shares of 10% cumulative preferred stock, par value $100, were issued in the prior year. Preferred dividends were not declared in the current year, but were current at the end of the prior year.

· At the beginning of the current year 1,060,000 shares of common stock were outstanding.

· On June 1 of the current year 60,000 shares of common stock were issued and sold.

· ABC's average income tax rate is 40%

ABC Company's basic earnings per share for the current fiscal year is

A. $3.67.

B. $4.29.

C. $4.38.

D. $4.73.