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Corral Limited, a publicly traded company, reported profit of $249,750 on its October 31 year-end income statement. The shareholders' equity section of its balance sheet reported 3,000, $2 noncumulative preferred shares and 50,000 common shares. At the beginning of the fiscal year, 40,000 had been issued,15,000 more were issued on March 1, and 5,000 were repurchased on August 1. The preferred dividend was declared and paid during the year. The market price per share on October 31 was $40. (a) Calculate weighted average (b) Calculate Corral's earnings per share. (c) Calculate Corral's price-earnings ratio.

Corral Limited, a publicly traded company, reported profit of $249,750 on its October 31 year-end income statement. The shareholders' equity section of its balance sheet reported 3,000, $2 noncumulative preferred shares and 50,000 common shares. At the beginning of the fiscal year, 40,000 had been issued,15,000 more were issued on March 1, and 5,000 were repurchased on August 1. The preferred dividend was declared and paid during the year. The market price per share on October 31 was $40. (a) Calculate weighted average (b) Calculate Corral's earnings per share. (c) Calculate Corral's price-earnings ratio.

Principles of Accounting Volume 1
Principles of Accounting Volume 1
19th Edition
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax
Chapter14: Corporation Accounting
Section: Chapter Questions
Problem 19EA: Jupiter Corporation earned net income of $90,000 this year. The company began the year with 600...
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Corral Limited, a publicly traded company, reported profit of $249,750 on its October 31 year-end income statement. The shareholders' equity section of its balance sheet reported 3,000, $2 noncumulative preferred shares and 50,000 common shares. At the beginning of the fiscal year, 40,000 had been issued,15,000 more were issued on March 1, and 5,000 were repurchased on August 1. The preferred dividend was declared and paid during the year. The market price per share on October 31 was $40.

(a) Calculate weighted average

(b) Calculate Corral's earnings per share.

(c) Calculate Corral's price-earnings ratio.

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