The shares of ABC Ltd have a market price of $4 and an annual dividend of 17.5 cents per share fully franked at the tax rate of 30 per cent. Calculate the dividend yield after company tax but before personal tax a. 16% b. 2.56% c. 6.25% d. It cannot be calculated as not enough information is provided

Q: he table below shows the market performance for a share of common stock in a multi-national…

A: Holding period return should be the return dividend and capital gains on the stock.

Q: stes Park, Inc., has declared a dividend of $5.90 per share. Suppose capital gains are not taxed,…

A: If the stock is about to go tax ex-dividend, then the price of the stock will be fall to the extent…

Q: Hihotech Company reported net income of 2.3 million for the year ended 20XX and had a weighted…

A: The question is based on the concept of calculation of earning per share , which is calculated as…

Q: JFE Corporation has announced a fully franked dividend of $1 per share. The corporation tax rate is…

A: A franked dividend is a dividend that is working to eliminate double taxation. This rule is…

Q: The preferred stock of Pollard's Pools pays an annual dividend of $5.50 a share and sells for $42 a…

A: In this question we need to calculate the cost of preferred stock. Given details are : Annual…

Q: NDM Limited is expected to pay $4.95 dividends per common stock at end of the year. This dividend is…

A: The cost of capital is the return that the company pays for its capital whether it is equity or…

Q: PT X has nominal preference shares of Rp. 1 billion, 6%. PT X's profit during the year was Rp. 200…

A: Dividend to Preferred shareholders: Preferred shareholders are given preference when dividend is…

Q: Markus Company’s common stock sold for $2.75 per share at the end of this year. The company paid a…

A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and…

Q: Compute the Values of an equity share and of preference share of each of the following companies:…

A: The question is related to Valuation of Shares. The details of two companies A and B are given.

Q: Karbala pic, which is unquoted, earns profit before tax of $80 million. It has issued 100 million…

A: Earnings per share(EPS) is an indicator or a financial ratio that shows how much profit a company is…

Q: Mala Prohibita Corporation has been earning 15% on equity and retaining 30% of its earnings after…

A: Return on equity: 15% Retained earnings after dividend: 30% Selling price of shares: 165 per share…

Q: Smith Corporation had 30,000 shares of common stock outstanding during the year. In addition, there…

A: Diluted earnings per share:   It refers to the amount of earnings that is available for each share…

Q: Alto and Tenor have 17,400 shares of stock outstanding at a market price of $27 per share. The firm…

A: Market value of equity = 17,400 x 27 = 469,800 Value of debt = 140,000 Total capital = 469,800 +…

Q: lue Co. has the following information with regards to the financial break-even point: ·      Annual…

A: Financial breakeven is that there is just interest and preferred dividend is paid.

Q: Camille issued and outstanding share capital throughout the period consists of 500,000 ordinary…

A: After distributing the net income to the preference shareholders whatever has been left is divided…

Q: The following is the Fine Organics Ltd. as on 31st March current year. Equity Share: 10000 Share…

A: Weighted average cost of capital is the overall cost of capital incurred for availing funds for the…

Q: An entity has the following information in its balance sheet. Ordinary shares of TZs 50 each TZS…

A: Weighted average cost of capital (WACC): When a firm's weighted average cost of capital (WACC) is…

Q: Gold Co. received dividends from its common stock investments during the year ended December 31 as…

A: Dividend  arising from  trading  security  is an Dividend income

Q: Edinburgh Plc has a profit after taxation and after preference dividends of £570,000. Share capital…

A: Solution: Earnings per Share = profit after taxation and after preference dividends / ordinary…

Q: Dodd Corporation is a private company that earned $4.00 per sharefor the most recent year. If the…

A: Computation:

Q: Hihotech Company reported net income of 2.3 million for the year ended 20XX and had a weighted…

A: Net Income = 2.3 Million  Weighted average common shares outstanding = 800,000 shares The exercise…

Q: Jerald Toy Corporation has 7% cost of debt, 11% cost of equity, and 8% cost of preferred stock.…

A: The WACC is a monetary proportion that computes an organization's expense of financing and procuring…

Q: Residential Investments plc, which pays corporation tax at 19 per cent, has the following capital…

A: Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: Interest versus dividend expense Michaels Corporation expects earnings before interest and taxes to…

A: Earnings before interest and tax = 44000Tax Rate = 21%Interest payment = 11,500Preferred stock…

Q: a) Ex-Dividend Price Company A has declared a dividend of $2.60 per share. Suppose capital gains are…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Michelle Company had the following share capital issued and outstanding for the entire current year:…

A: Basic EPS represents the per share amount earned by the common shareholders of an entity out of its…

Q: Pearson Ltd is an Australian listed company. Its results for the financial year ending 30 June 2023…

A: Earnings per share (EPS): Earnings per share is the amount allocated to each unit of share issued by…

Q: On June 30th, Ray Corporation had a market price of $100 per share of common stock. For the previous…

A: Market price = 100 per share Previous year annual dividend = $8.00 per share   Calculation of…

Q: The balance sheet for Tempest, Inc., Is shown here In market value terms. There are 27,000 shares of…

A: Answer: a. Calculation of the stock price today: Stock price today = Market value of equity today /…

Q: ential shares, 14%, P100 par vale ary shares, P25 par value, 33,600 shares um on ordinary shares med…

A: The answer is stated below:               Note: Answering the first three subparts as there are…

Q: Fantana Company’s preferred stock currently sells for $100.00 per share, and it pays an $6.00 annual…

A: Cost of capital can be defined as the total expense incurred by the company in accumulation of fund…

Q: The preferred stock of Rock Bottom Floors pays a fixed dividend of $7.50 annually.  Each share of…

A: Dividend =7.5 market prices =58.5

Q: A listed company has made a profit after tax of RM1,500,000 in the year ended 31 December 2021. It…

A: Earnings per share = (Net income - dividend) / No. of ordinary share outstanding Where,  Preferred…

Q: Mars company plans to issue some 100 preferred stock with an 11% dividend. The stock is selling on…

A: Dividend on preferred stock = 11% Market Price of stock = 97 Tax will have no impact on cost of…

Q: huss Inc. can sell preferred shares for $82 with an estimated flotation cost of $2.00. The preferred…

A: Stock price = $ 82 Annual dividend = $ 14 Flotation cost = $ 2

Q: The preferred stock of Hose Ltd., pays an annual dividend of Shs.6.50 a share and sells for shs.48 a…

A: Annual Dividend= Shs.6.50 Current share Price= Shs.48 Cost of the preferred stock=?

Q: Interest versus dividend expense Derwent Ltd., has announced that the eanings before income and…

A: EBIT = £300000 Interest = £70000

Q: Candy Corporation had pretax profits of $1.2 million, an average tax rate of 34 percent, and it paid…

A: Earning per share depicts the earnings of equity shareholders against the amount of capital invested…

Q: ubbleTree Inc. had a taxable income of $440,000 last year. Its average tax rate is 31% and it paid…

A: In this question we need to compute the value of retained earnings. To calculate retained earnings…

Q: ABC LTD's profit after tax for an accounting period is R12m. The company's issued share capital…

A: Earnings per share means earning available for each shareholder of the company. This income is after…

Q: Check my work Data Number of shares Price per share Market value of shares 2,500 25 $ 62,500…

A: Working Note #1 No. of shares before repurchase = 2500 No. of shares purchased             = 270 No.…

Q: Interest versus dividend income Last year, Shering Corporation had pretax earnings of $480,000. In…

A: Since you have posted question with multiple sub-parts , we will do the first three sub-parts for…

Q: In its capital structure, ABC Corporation has preferred stock paying a dividend of P5 per share and…

A: Annual dividend = P 5 Price of share = P 23 Tax rate = 40%