Paulson, Inc. reported net income of $60,000 during 2010. Throughout 2010, 20,000 shares of common stock and 5,000 shares of preferred stock were outstanding. The preferred stock has no dividend preference. Evans reported earnings only for continuing operations items. How much is earnings per share for 2010?

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Earnings per share = Net income / Weighted average number of shares outstanding= $60,000 / (20,000 + 5,000)= $60,000 / 25,000= $3.00