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Pharoah Medical manufactures hospital beds and other institutional furniture. The company's comparative balance sheet and income statement for 2019 and 2020 follow.

Pharoah Medical Comparative Balance Sheet As of December 31
		2020		2019
Assets
Current assets
Cash		$387,000		$417,400
Accounts receivable, net		1,075,000		776,500
Inventory		727,000		681,100
Other current assets		381,350		247,050
Total current assets		2,570,350		2,122,050
Property, plant, & equipment, net		8,651,835		8,439,645
Total assets		$11,222,185		$10,561,695
Liabilities and Stockholders' Equity
Current liabilities		$3,162,000		$2,846,000
Long-term debt		3,702,600		3,892,600
Total liabilities		6,864,600		6,738,600
Preferred stock, $5 par value		58,950		58,900
Common stock, $0.25 par value		104,650		103,900
Retained earnings		4,193,985		3,660,295
Total stockholders' equity		4,357,585		3,823,095
Total liabilities and stockholders' equity		$11,222,185		$10,561,695

Pharoah Medical Comparative Income Statement and Statement of Retained Earnings For the Year
		2020		2019
Sales revenue (all on account)		$10,177,300		$9,613,900
Cost of goods sold		5,613,000		5,298,700
Gross profit		4,564,300		4,315,200
Operating expenses		2,840,300		2,634,200
Net operating income		1,724,000		1,681,000
Interest expense		300,300		308,650
Net income before taxes		1,423,700		1,372,350
Income taxes (30%)		427,110		411,705
Net income		$996,590		$960,645
Dividends paid
Preferred dividends		29,500		29,550
Common dividends		433,400		413,100
Total dividends paid		462,900		442,650
Net income retained		533,690		517,995
Retained earnings, beginning of year		3,660,295		3,142,300
Retained earnings, end of year		$4,193,985		$3,660,295

(a)

Calculate the earnings per share (average of 418,000 shares outstanding for the year) for 2020. (Round answer to 2 decimal places, e.g. 2.55.)

Earning per share

$enter the earning per share in dollars rounded to 2 decimal places per share

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(b)

Calculate the price/earnings ratio (market price of $48 at year-end) for 2020. (Round answer to 1 decimal place, e.g. 2.5.)

Price/earnings ratio

enter the price to earnings ratio rounded to 1 decimal place

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(c)

Calculate the dividend payout ratio (dividends of $1.25 per common share for the year) for 2020. (Round answer to 1 decimal place, e.g. 2.5.)

Dividend payout ratio

enter the dividend payout ratio in percentages rounded to 1 decimal place %

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