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## NOTE 2. Summary of Accounting Policies (Continued) 

The following table illustrates the effect on net income and earnings per share had the fair value method been applied to all unvested outstanding stock option awards in each year (in millions): 

<img src='content_image/23218.jpg'>

## NOTE 3. INCOME TAXES 

Components of income taxes, excluding discontinued operations, cumulative effects of changes in accounting principles and equity in net results of affiliated companies accounted for after-tax, are as follows: 

<img src='content_image/23219.jpg'>

