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Dover River Company has current operating profit of $270,000 before taxes. Interest expense is $16,000, dividends paid on preferred shares were $28,300, and common dividends
Dover River Company has current operating profit of $270,000 before taxes. Interest expense is $16,000, dividends paid on preferred shares were $28,300, and common dividends paid of $32,500. The company paid taxes of $73,200. The company has 25,00o outstanding common shares. a. Calculate the EPS and common dividends per share. (Round the final answers to 2 decimal places.) Earnings per share Common dividends per share b. Calculate the payout ratio. (Do not round intermediate calculations. Round the final answer to 2 decimal places.] -% ayout ratio c. Determine the increase in retained earnings for the year. Increase in retained earnings$ d. If the share price is $24.40, calculate the price-earnings (P/E) ratio. (Do not round intermediate calculations. Round the final answer to 2 decimal places.) Price-earning ratio times
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