Calculation of EPS and retained earning Everdeen Mining, Inc., ended the year with net profits before taxes of 433,000 The company is subject to a 21% tax rate and must pay $63,200 in preferred stock dividends before distributing any earnings on the 179,000 shares of common stock currently outstanding.

a. Calculate Everdeen's earnings per share (EPS).

b. If the firm paid common stock dividends of $0.85per share, how many dollars would go to retained earnings?