Using the data given below, calculate fully diluted shares. Assume the firm uses proceeds received from the conversion of options to common shares to repurchase as many of these new shares as possible.

Calculating Fully Diluted Shares Outstanding

$Million, except per share data, shares in millions

Current Share Price......................................................$30.00

Basic Shares Outstanding...............................................200.00

Options that can be Exercised.............................................40.0

Weighted Average Exercise Price.....................................$20.00

a. 224.52

b. 263.59

c. 213.33

d. 256.87

e. 233.47