At December $31,2022,$ David Davis Ltd$.$ had $913000$ common shares outstanding $($no preferred shares issued$).$ On September $1,2023,$

an additional $309000$ common shares were issued. In addition, David Davis had $$10000000($par value$)6\%$ convertible bonds

outstanding at December $31,2022,$ which are convertible into $606000$ common shares. No bonds were converted in $2023.$ Net

income for calendar $2023$ was $$3748540.$ Assuming the income tax rate is $30\%,$ the diluted earnings per share for $2023$ is

$$2\mathrm{.}68.$

$$2\mathrm{.}32.$

$$3\mathrm{.}74.$

$$2\mathrm{.}57.$