On December 31, 2012 Sagar co had 1,200,000 shares of common stock outstanding. In addition Sagar has 450,000 shares of preferred stocks which was convertible into 750,000 shares of common stock. During 2013 Sagar paid $750,999 cash dividends on the common stock and $ 500,000 cash dividends on the preferred stock. Net income for 2013 was $4,250,000 and the income tax rate was 40%. What is diluted earnings per share for 2013?