Bellevue Ltd. reported net income of $860,000 for its year ended December 31, 2014. Calculate earnings per share given the following additional information at December 31, 2014:
Preferred shares, $2 cumulative, 50,000 shares authorized;
26,000 shares issued and outstanding .......................................................... $286,000
Common shares, 300,000 shares authorized,
160,000 shares issued and outstanding* ....................................................... 544,000
Retained earnings** .......................................................................................... 180,000