This adorable dishcloth uses Elizabeth Zimmermann’s Pi shawl ratio to create a flat circle. The ears are knitted flat after binding off the main circle., and the eyes are done using duplicate stitch.

Errata, updated 9/29/2014
Row 5 and 6 in the Ears section are incorrect. They should read:

Row 5: BO 1 st, k7, BO 1 st.

Row 6: BO 1 st pwise, p5, BO 1 st pwise.