Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Daly Company has the following information for 2008. Cost of goods sold $88 million Dividend per share $0.20 Earnings before interest and taxes $13 million
Daly Company has the following information for 2008.
Cost of goods sold | $88 million |
Dividend per share | $0.20 |
Earnings before interest and taxes | $13 million |
Income tax rate | 35% |
Interest expense (at average interest rate 10%) | $1 million |
Inventory turnover ratio | 5 |
No of shares | 5 million |
Price per share | $13 |
Weighted average cost of capital | 12% |
Find its Earnings per share and Interest coverage ratio
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started