Pacific Gas and Electric Company is a large gas and electric utility operating in northern and central California. Three recent years of financial data for Pacific Gas and Electric Company are as follows:                           Fiscal Years Ended             Year 3   Year 2   Year 1                 Net income $880   $1,470   $810   Preferred dividends $16   $16   $16   Average number of common shares outstanding 484   468   444   b.  Evaluate the growth in earnings per share for the three years in comparison to the growth in net income for the three years. Round your answers to the nearest whole percentage. Negative amount should be indicated by the minus sign. Earnings per share growth as a percent of Year 1 (base year) Year 3 fill in the blank 4% Year 2 fill in the blank 5% Year 1 Earnings fill in the blank 6% Net income growth as a percent of Year 1 (base year) Year 3 fill in the blank 7% Year 2 fill in the blank 8% Year 1 Earnings fill in the blank 9%

Financial And Managerial Accounting
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ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:WARREN, Carl S.
Chapter12: Corporations: Organization, Stock Transactions, And Dividends
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Problem 3MAD: Analyze Pacific Gas and Electric Company Pacific Gas and Electric Company (PCG) is a large gas and...
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Pacific Gas and Electric Company is a large gas and electric utility operating in northern and central California. Three recent years of financial data for Pacific Gas and Electric Company are as follows:                        

  Fiscal Years Ended          
  Year 3   Year 2   Year 1  
             
Net income $880   $1,470   $810  
Preferred dividends $16   $16   $16  
Average number of common shares outstanding 484   468   444  

b.  Evaluate the growth in earnings per share for the three years in comparison to the growth in net income for the three years. Round your answers to the nearest whole percentage. Negative amount should be indicated by the minus sign.

Earnings per share growth as a percent of Year 1 (base year)

Year 3 fill in the blank 4%
Year 2 fill in the blank 5%
Year 1 Earnings fill in the blank 6%

Net income growth as a percent of Year 1 (base year)

Year 3 fill in the blank 7%
Year 2 fill in the blank 8%
Year 1 Earnings fill in the blank 9%
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