As a stockholder of Bozo Oil Company, you receive its annual report. In the financial statements, the
Question:
As a stockholder of Bozo Oil Company, you receive its annual report. In the financial statements, the firm has reported assets of $21 million, liabilities of $12 million, after-tax earnings of $2 million, and 1.25 million outstanding shares of common stock.
1. Calculate the earnings per share of Bozo Oil’s common stock.
2. Assuming a share of Bozo Oil’s common stock has a market value of $40, what is the firm’s priceearnings ratio?
3. Calculate the book value of a share of Bozo Oil’s common stock.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Related Book For
Personal Finance
ISBN: 9781264101597
14th Edition
Authors: Jack Kapoor, Les Dlabay, Robert Hughes, Melissa Hart
Question Posted: