Stockholder Profitability Ratios The following information pertains to Capital Corporation: Net income $1,005,000 Average common equity $16,500,000 Preferred stock, $10 par, 230,000 issued, 10% cumulative $2,300,000 Average common shares outstanding 525,000 Required: Calculate the return on common equity and the earnings per share. Round your answers to two decimal places. Return on common equity fill in the blank 1 % Earnings per share $fill in the blank 2
Stockholder Profitability Ratios The following information pertains to Capital Corporation: Net income $1,005,000 Average common equity $16,500,000 Preferred stock, $10 par, 230,000 issued, 10% cumulative $2,300,000 Average common shares outstanding 525,000 Required: Calculate the return on common equity and the earnings per share. Round your answers to two decimal places. Return on common equity fill in the blank 1 % Earnings per share $fill in the blank 2
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter10: Stockholder's Equity
Section: Chapter Questions
Problem 37CE: Stockholder Profitability Ratios The following information pertains to Montague Corporation...
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Stockholder Profitability Ratios
The following information pertains to Capital Corporation:
| Net income | $1,005,000 |
| Average common equity | $16,500,000 |
| Preferred stock, $10 par, 230,000 issued, 10% cumulative | $2,300,000 |
| Average common shares outstanding | 525,000 |
Required:
Calculate the return on common equity and the earnings per share. Round your answers to two decimal places.
| Return on common equity | fill in the blank 1 | % |
| Earnings per share | $fill in the blank 2 |
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