Presented below is information related to ABC Company.

1. Net Income (including a discontinued operations gain - net of tax - of $96,000 $283,000

2. Capital Structure

a. Cumulative 5% preferred stock, $100 par, 6,200 shares issued and outstanding $620,000

b. $10 par common stock, 74,000 shares outstanding on Jan 1. On Apr 1, 40,000 shares were issued for cash. On Oct 1, 16,000 shares were purchased and retired. $1,000,000

c. On Jan 2 of the current year, ABC purchased a new corporation. One of the terms of the purchase was that if the new corporation's net income for the following year is $245,000 or more, 50,000 additional shares would be issued to the new corporation's stockholders next year. This company's current year was $2,600,000.

3. Other information

a. Average market price per share of common stock during the entire year $30

b. Income tax rate 30%

Weighted average shares outstanding has been calculated as: 100,000.

Compute earnings per share for the current year. Round answer to the nearest two decimal places and sow any calculations.