For 2019, Purple Co. had 200,000 shares of common stock for the entire year. Purple also had $600,000 of 10% bonds convertible into 27,0000 shares of common stock. Net Income for 2018 was $360,000 and the income tax rate was 30%. What are diluted earnings per share for 2018? (round to nearest penny)

a. $1.40

b. $1.77

c. $1.80

d. $2.01