Calculate the Income Effect on the Incremental EPS for the Following

Calculate the income effect on the incremental EPS for the following instrument: $$\begin{array}{l}\begin{array} { | l | r | } \hline \text { Convertible bonds outstanding, yield of } 8 \% \text { and }\\\text { coupon rate of } 8 \% & \$ 5,000,000 \\\hline \text { Issue date } & \text { January } 1,2015 \\\hline \text { Maturity date } & \text { December } 31,2022 \\\hline \text { Conversion rate for each } \$ 1,000 \text { bond } & \text { 25 ordinary shares } \\\hline \text { Income tax rate } & 30 \% \\\hline\end{array}\end{array}$$

A) $0.96
B) $2.24
C) $120,000
D) $280,000