A company reports the following: Net income $1,360,500 Preferred dividends $77,000 Shares of common stock outstanding 85,000 Market price per share of common stock $81.54 a. Determine the company's earnings per share on common stock. Round your answer to the nearest cent. Use the rounded answer of requirement a for subsequent requirement, if required. b. Determine the company's price-earnings ratio. Round to one decimal place.
A company reports the following: Net income $1,360,500 Preferred dividends $77,000 Shares of common stock outstanding 85,000 Market price per share of common stock $81.54 a. Determine the company's earnings per share on common stock. Round your answer to the nearest cent. Use the rounded answer of requirement a for subsequent requirement, if required. b. Determine the company's price-earnings ratio. Round to one decimal place.
Financial Accounting
15th Edition
ISBN:9781337272124
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Carl Warren, James M. Reeve, Jonathan Duchac
Chapter17: Financial Statement Analysis
Section: Chapter Questions
Problem 11PEA: Earnings per share and price-earnings ratio A company reports the following: a. Determine the...
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