a.  Times interest earned ratio fill in the blank 1 times b.  Earnings per share on common stock $fill in the blank 2   c.   Price-earnings ratio fill in the blank 3   d.   Dividends per share of common stock $fill in the blank 4   e.   Dividend yield fill in the blank 5

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter16: Financial Statement Analysis
Section: Chapter Questions
Problem 20E
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Five Measures of Solvency or Profitability

The balance sheet for Quigg Inc. at the end of the current fiscal year indicated the following:

Bonds payable, 8% $1,900,000
Preferred $10 stock, $100 par 223,000
Common stock, $10 par 1,951,250

Income before income tax expense was $486,400,and income taxes were $73,850 for the current year. Cash dividends paid on common stock during the current year totaled $109,270. The common stock was selling for $16 per share at the end of the year.

Determine each of the following. Round answers to one decimal place, except for dollar amounts which should be rounded to the nearest whole cent. Use the rounded answers for subsequent requirements, if required.

a.  Times interest earned ratio fill in the blank 1 times
b.  Earnings per share on common stock $fill in the blank 2  
c.   Price-earnings ratio fill in the blank 3  
d.   Dividends per share of common stock $fill in the blank 4  
e.   Dividend yield fill in the blank 5 %

 

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