Rangers Corp.'s balance sheet is as follows:
IBM (in $millions)

BALANCE SHEET on 2010 | 2009
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ASSETS:
Cash and cash equivalents: 10,661 | 12,183
Marketable securities: 990 | 1,791
Notes and accounts receivable – trade (net of
allowances of $324 in 2010 and $217 in 2009): 10,834 | 10,736
Short-term financing receivables (net of allowances
of $342 in 2010 and $438 in 2009): 16,257 | 14,914
Other accounts receivable (net of allowances of
$10 in 2010 and $15 in 2009): 1,134 | 1,143
Inventories: 2,450 | 2,494
Deferred taxes: 1,564 | 1,730
Prepaid expenses and other current assets: 4,226 | 3,946
TOTAL CURRENT ASSETS: 48,116 | 48,937
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Plant, rental machines and other property: 40,289 | 39,596
Less: Accumulated depreciation: 26,193 | 25,431
Plant, rental machines and other property – net: 14,096 | 14,165
Long-term financing receivables (net of allowances
of $58 in 2010 and $97 in 2009): 10,548 | 10,644
Prepaid pension assets: 3,068 | 3,001
Deferred taxes: 3,220 | 4,195
Goodwill: 25,136 | 20,190
Intangible assets – net: 3,488 | 2,513
Investments and sundry assets: 5,778 | 5,379
TOTAL ASSETS: 113,450 | 109,024
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The footnotes included the following:

INTANGIBLE ASSETS
The following table details the company’s intangible asset balances by major asset class. ($in millions)
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At December 31, 2010:
Intangible Asset Class:: Gross | Accumulated amortization | Net
Capitalized software: 1,558 | -726 | 831
Client relationships: 1,709 | -647 | 1,062
Completed technology: 2,111 | -688 | 1,422
In-process R&D: 21 | 0 | 21
Patents/trademarks: 211 | -71 | 140
Other*: 39 | -28 | 11
Total: 5,649 | -2,160 | 3,487
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At December 31, 2009:
Intangible Asset Class:
Capitalized software: 1,765 | -846 | 719
Client relationships: 1,367 | -677 | 890
Completed technology: 1,222 | -452 | 770
Patents/trademarks: 174 | -59 | 115
Other*: 94 | -75 | 19
Total: 4,622 | -2,109 | 2,513
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Capitalized software costs incurred or acquired after technological feasibility has been established are amortized over periods ranging up to 3 years. Capitalized costs for internal-use software are amortized on a straight-line basis over periods of up to 2 years. (See “Software Costs” on page 71 for additional information). Other intangible assets are amortized over periods between 2 and 7 years.

INCOME STATEMENT for 2010
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Revenue:
Services: 56,868
Sales: 40,736
Financing: 2,267
Total revenue: 99,870
Cost:
Services: 38,383
Sales: 14,374
Financing: 1,100
Total cost: 53,857
Gross profit: 46,014
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Selling, general and administrative: 21,837
Research, development, and engineering: 6,026
Intellectual property and custom development income: -1,154
Other (income) and expense: -787
Interest expense: 368
Total expense and other income: 26,291
Income before income taxes: 19,723
Provision for income taxes: 4,890
Net income: 14,833
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Earnings per share of common stock:
Assuming dilution: 11.52
Basic: 11.69

Suppose Rangers Corp. does not capitalize any software costs and expenses as incurred. What will be the diluted earnings per share in 2010?

Answer rating: 100% (QA)

D il uted earnings per share net income so... View the full answer