Cryystal Arts Ltd. had earnings of $240,000 for 2015. The company had 40,000 common shares outstanding during the year. In addition, the company issued 3,000 preferred shares at $75 per share on January 3, 2015. The preferred share has a dividend of $5 per share. No other transactions in either common or preferred shares occurred during 2015.
Determine the basic earnings per share for Crystal Arts Ltd.