Fu Wong has a sum of money, which he wishes to invest in shares. He has decided to invest in one of two companies, Chinoso plc or Paxorient plc. Fu Wong has carried out research on the internet and found the following information.

Fu Wong knows you are an accountant and asks you for advice. He would like your assistance in calculating the missing information in the table.
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(a) Calculate, for Chinoso plc, the:
(i) total ordinary dividend paid for the year (ii) market price of shares (iii) dividend yield.

(b) Calculate, for Paxorient plc, the:
(i) earnings per ordinary share (ii) dividend cover (iii) price earnings ratio (iv) dividend paid per share.

(c) Evaluate the relevant information available and recommend to Fu Wong which company he should invest in.

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Number of 0.50 (50 pence) ordinary shares issued 5% Bank loan repayable in 3 years time 6% loan notes redeemable in 5 years time Net profit before interest and tax for year Corporation tax expense Earnings per ordinary share Total ordinary dividend paid for the year Dividend cover Market price of shares Price earnings ratio Dividend paid per share Dividend yield Chinoso plc 15,000,000 5,000,000 2,800,000 300,000 0.15 (15 pence) To be calculated 2.5 times To be calculated 8.4 times 0.06 (6 pence) To be calculated Paxorient plc 20,000,000 2,500,000 3,600,000 450,000 To be calculated 1,000,000 To be calculated 0.90 (90 pence) To be calculated To be calculated 5.55%