Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

#46 #47 #48 three and one Markus Company's common stock sold for $2.00 per share at the end of this year. The company paid a

#46 #47 #48 three and one
image text in transcribed
image text in transcribed
image text in transcribed
Markus Company's common stock sold for $2.00 per share at the end of this year. The company paid a common stock dividend of $0.42 per share this year. It also provided the following data excerpts from this year's financial statements: Ending Beginning Balance Balance Cash $ 30,500 $ 46,000 Accounts receivable $ 52,000 $ 45,000 Inventory $ 49,300 $ 52,000 Current assets $ 131,800 $ 143,000 Total assets $ 353,000 $ 318,200 Current liabilities $ 52,500 $ 37,500 Total liabilities $ 98,000 $ 88,200 Common stock, $1 par value $ 111,000 $ 111,000 Total stockholders' equity $ 255,000 $230,000 Total liabilities and stockholders' equity $ 353,000 $ 318,200 Sales (all on account) Cost of goods sold Gross margin Net operating income Interest expense Net Income This Year $ 585,000 $ 339,300 $ 245,700 $ 75,500 $ 4,500 $ 49,700 Required: 1. What is the earnings per share? (Round your answer to 2 decimal places.) Eamings per share Markus Company's common stock sold for $2.00 per share at the end of this year. The company paid a common stock dividend of $0.42 per share this year. It also provided the following data excerpts from this year's financial statements: Ending Beginning Balance Balance Cash $ 30,500 $ 46,000 Accounts receivable $ 52,000 $ 45,000 Inventory $ 49,300 $ 52,000 Current assets $ 131,800 $ 143,000 Total assets $ 353,000 $ 318,200 Current liabilities $ 52,500 $ 37,500 Total liabilities $ 98,000 $ 88,200 Common stock, $1 par value $ 111,000 $ 111,000 Total stockholders' equity $ 255,000 $ 230,000 Total liabilities and stockholders' equity $ 353,000 $ 318,200 This Year Sales (all on account) $585,000 Cost of goods sold $ 339,300 Gross margin $ 245,700 Net operating income $ 75,500 Interest expense $ 4,500 Net income $ 49,700 2. What is the price-earnings ratlo? (Do not round Intermediate calculations, Round your answer to 2 decimal places.) Price-camiga ratio Markus Company's common stock sold for $2.00 per share at the end of this year. The company paid a common stock dividend of $0.42 per share this year. It also provided the following data excerpts from this year's financial statements: Ending Beginning Balance Balance Cash $ 30,500 $ 46,000 Accounts receivable $ 52,000 $ 45,000 Inventory $ 49,300 $ 52,000 Current assets $ 131,800 $ 143,000 Total assets $ 353,000 $ 318,200 Current liabilities $ 52,500 $ 37,500 Total liabilities $ 98,000 $ 88,200 Common stock, $1 par value $ 111,000 $ 111,000 Total stockholders' equity $ 255,000 $ 230,000 Total liabilities and stockholders' equity $ 353,000 $ 318,200 Sales (all on account) Cost of goods sold Gross margin Net operating income Interest expense Net income This Year $585,000 $ 339,300 $ 245,700 $ 75,500 $ 4,500 $ 49,700 3. What is the dividend payout ratio and the dividend yield ratio? (Do not round intermediate calculations. Round your answer to the nearest whole percentage place (.e., 0.1234 should be entered as 12).) Dividend payout ratio Dividend yield ratio % %

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Corporate Fraud Prevention And Detection

Authors: Joseph T. Wells

5th Edition

1119351987, 9781119351986

More Books

Students also viewed these Accounting questions

Question

What is Larmors formula? Explain with a suitable example.

Answered: 1 week ago

Question

Distinguish between HRD and human resource management (HRM)

Answered: 1 week ago

Question

Define what the four-fifths rule is.

Answered: 1 week ago