18 Dividend Policy and Retained Earnings 46:54 bed bok Int ences aw Vegas Products sells marked playing cards to blackjack dealers. It has not paid a dividend in many years but is currently contemplatin some kind of dividend. The capital accounts for the firm are: Common stock (2,800,000 shares) Retained earnings Net worth Common stock Retained earnings The company's stock is selling for $20 per share, and it earned $5,600,000 during the year with 2,800,000 shares outstanding, indicating a P/E ratio of 10. a. Restate the capital accounts at year end after the 10% stock dividend. Net worth EPS Share price $28,000,000 26,000,000 $54,000,000 $ $ $ Saved b. Restate the EPS and share price. (Assume the P/E ratio remains constant.) (Do not round intermediate calculations. Round the final answers to 2 decimal places.) Stm

Vegas Products sells marked playing cards to blackjack dealers. It has not paid a dividend in many years but is currently conter some kind of dividend. The capital accounts for the firm are: Common stock (2,800,000 shares) Retained earnings Net worth $28,000,000 26,000,000 $54,000,000 The company's stock is selling for $20 per share, and it earned $5,600,000 during the year with 2,800,000 shares outstanding indicating a P/E ratio of 10. a. Restate the capital accounts at year end after the 10% stock dividend. Common stock Retained earnings Net worth $ b. Restate the EPS and share price. (Assume the P/E ratio remains constant.) (Do not round intermediate calculations. Round answers to 2 decimal places.) $ EPS Share price $