Colaw Company Had 300,000 Shares of Common Stock Issued and Outstanding

Colaw Company had 300,000 shares of common stock issued and outstanding at December 31, 2007. During 2008, no additional common stock was issued. On January 1, 2008, Colaw issued 400,000 shares of nonconvertible preferred stock. During 2008, Colaw declared and paid $180,000 cash dividends on the common stock and $150,000 on the nonconvertible preferred stock. Net income for the year ended December 31, 2008, was $960,000. What should be Colaw's 2008 earnings per common share, rounded to the nearest penny?

A) $1.16
B) $2.10
C) $2.70
D) $3.20