Question
A company reports the following: Net income $615,000 Preferred dividends $35,000 Shares of common stock outstanding 100,000 Market price per share of common stock $45.82
A company reports the following:
| Net income | $615,000 |
| Preferred dividends | $35,000 |
| Shares of common stock outstanding | 100,000 |
| Market price per share of common stock | $45.82 |
a. Determine the company's earnings per share on common stock. Round your answer to the nearest cent. Use the rounded answer of requirement a for subsequent requirement, if required. $
b. Determine the company's price-earnings ratio. Round to one decimal place.
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Financial Accounting An Introduction
Authors: Jacqui Kew, Alex Watson
4th Edition
0199046484, 978-0199046485
