Market Performance Ratios, Last year, Rapid Data Company reported a net income of \(\$ 4,500,000\) and paid a dividend of \(\$ 0.90\) per share on \(2,000,000\) shares of common stock outstanding. The market value of each share of stock averaged \(\$ 45\).

\section*{Required:}

1. Compute the earnings per share, price-earnings ratio, dividend payout percentage, and dividend yield.

2. Comment on possible reasons that the market price changed

(a) from \(\$ 38\) the previous year to \(\$ 45\) last year or

(b) from \(\$ 50\) the previous year to \(\$ 45\) last year.