Hudson Motors reported $535,000 net income for the current year. Beginning common shares outstanding were 120,000.

Hudson Motors reported $535,000 net income for the current year. Beginning common shares outstanding were 120,000. Hudson also had 10,000, 6% nonconvertible, cumulative, $100 par value preferred shares outstanding for the entire year. No cash dividends were declared. Compute basic earnings per share.

A) $4.46

B) $4.11

C) $3.96

D) $3.65

please write down the steps leading to your answer