Assume that all balance sheet amounts for Carolina Company represent average balance figures.

Stockholders equitycommon	$360,000
Total stockholders equity	800,000
Sales revenue	400,000
Net income	76,000
Number of shares of common stock	40,000
Common stock dividends	24,000
Preferred stock dividends	4,000

What is the earnings per share for Carolina?

$1.80 $1.90 $1.20 $2.00