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As a stockholder of Bozo Oil Company, you receive its annual report. In the financial statements, the firm has reported assets of $12 million,
As a stockholder of Bozo Oil Company, you receive its annual report. In the financial statements, the firm has reported assets of $12 million, liabilities of $8 million, after-tax earnings of $2.65 million, and 1.90 million outstanding shares of common stock. a. Calculate the earnings per share of Bozo Oil's common stock. Note: Round your answer to 2 decimal places. b. Assuming a share of Bozo Oil's common stock has a market value of $40, what is the firm's price-earnings ratio? Note: Round your intermediate calculation to 2 decimal places and final answer to the nearest whole number. c. Calculate the book value of a share of Bozo Oil's common stock. Note: Round your answer to 2 decimal places. a. Earnings per share b. Price-earnings ratio c. Book value per share
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