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, 9% Preferred $10 stock, $100 par Common stock, $12 par Income before income tax expense was $226,800, and income taxes were $34,400 for the current year. Cash dividends paid on common stock during the current year totaled $36,400. The common stock was selling for $100 per share at the end of the year. $900,000 104,000 218,400 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 b. Earnings per share on common stock c. Price-earnings ratio d. Dividends per share of common stock e. Dividend yield $ 2.8 X times 1.13 X %
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, 9% Preferred $10 stock, $100 par Common stock, $12 par Income before income tax expense was $226,800, and income taxes were $34,400 for the current year. Cash dividends paid on common stock during the current year totaled $36,400. The common stock was selling for $100 per share at the end of the year. $900,000 104,000 218,400 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 b. Earnings per share on common stock c. Price-earnings ratio d. Dividends per share of common stock e. Dividend yield $ 2.8 X times 1.13 X %
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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