Orchard Corporation's capital stock at December 31 consisted of the following:

(a) Common stock, $2 par value; 100,000 shares authorized, issued, and outstanding.

(b) 10% noncumulative, nonconvertible preferred stock, $100 par value; 1,000 shares authorized, issued, and outstanding.

Orchard's common stock, which is listed on a major stock exchange, was quoted at $4 per share on December 31. Orchard's net income for the year ended December 31 was $50,000. The yearly preferred dividend was declared. No capital stock transactions occurred. What was the price earnings ratio on Orchard's common stock at December 31?