Financial Ratios for Common Stockholders

Kluster Corporation has only common stock out-standing. The firm reported earnings per share of $5.25 for the year. During the year, Kluster paid dividends of $2.10 per share. At year end the current market price of the stock was $63 per share.

Calculate the following: (Round to 1 decimal point)

a. Year-end price-earnings ratio

b. Dividend yield % c. Dividend payout ratio %