Use the Table for the Question(s) Below -Refer to the Income Statement Above

question 27

Multiple Choice

Use the table for the question(s) below.
$\begin{array} { c } \text { Luther Corporation }\\ \text { Consolidated Income Statement }\\ \text { Year ended June 30 (in \$ millions) }\\\begin{array} { lll }&2012&2011\\\hline \text { Total sales } & 610.1 & 578.3 \\\hline \text { Cost of sales } & (500.2) & (481.9) \\\hline \text { Gross profit } & 109.9 & 96.4 \\\hline \text { Selling, general, and } & \\\text { administrative expenses } & (40.5) & (39.0) \\\hline \text { Research and development } & (24.6) & (22.8) \\\hline \text { Depreciation and amortisation } & (3.6) & (3.3) \\\hline \text { Operating income } & 41.2 & 31.3 \\\hline \text { Other income } & --- & -- \\\hline \text { Earnings before interest and taxes (EBIT) } & 41.2 & 31.3 \\\hline \text { Interest income (expense) } & (25.1) & (15.8) \\\hline \text { Pretax income } & 16.1 & 15.5 \\\hline \text { Taxes } & (5.5) & (5.3) \\\hline \text { Net income } & 10.6 & 10.2 \\\hline\\\hline \text { Price per share } & \$ 16 & \$ 15 \\\hline \text { Shares outstanding (millions) } & 10.2 & 8.0 \\\hline \text { Share options outstanding (millions) } & 0.3 & 0.2 \\\hline\\\hline \text { Shareholders' Equity } & 126.6 & 63.6 \\\hline \text { Total Liabilities and Shareholders' Equity } & 533.1 & 386.7 \\\hline\end{array}\end{array}$

-Refer to the income statement above. Assuming that Luther has no convertible bonds outstanding, then for the year ending 30 June 2012, Luther's diluted earnings per share are closest to:

• A) $1.53
• B) $1.04
• C) $1.01
• D) $3.92

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Potential causes of harm or danger to individuals, organizations, or systems, stemming from various sources like environmental conditions, cyber-attacks, or competitive actions.

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Behaviors or attitudes aimed at evading tasks or responsibilities, often due to lack of motivation or fear of failure.

Environmental Changes

pertain to alterations in the external surroundings that can impact an organization, including economic, social, technological, and ecological factors.

Knowledge Development

The process of acquiring, creating, sharing, and utilizing information and expertise to achieve organizational or personal objectives.