The lower portion of the 2012 income statement for Duke Energy Corporation follows (dollars in millions, except per-share amounts):

Income from continuing operations ............. $1, 746

Income from discontinued operations, net of tax ........ 36

Net income ...................... 1,782

Less: Net income attributable to noncontrolling interests .... 14

Net income attributable to Duke Energy ..........$1,768

Earnings per share from continuing operations

Basic .........................$ 3.01

Diluted ........................$ 3.01

Earnings per share from discontinued operations

Basic ........................$ 0.06

Diluted ........................$ 0.06

Earnings per share

Basic .........................$ 3.07

Diluted ........................$ 3.07

REQUIRED:

a. Why is there a distinction among income from continuing operations, income from discontinued operations, and income from non-controlling interests?

b. Estimate the number of common shares outstanding.

c. Why is there a distinction between basic earnings per share and diluted earnings per share?

d. Is there a potential for securities to be converted into common shares?