Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Mihok Corporation has provided the following financial data: Year 2 Year 1 Stockholders' equity: Common stock, $3 par value $300,000 $300,000 Additional paid-in capitalcommon stock
Mihok Corporation has provided the following financial data:
Year 2 | Year 1 | |
Stockholders' equity: | ||
Common stock, $3 par value | $300,000 | $300,000 |
Additional paid-in capitalcommon stock | 100,000 | 100,000 |
Retained earnings | 375,000 | 370,000 |
Total stockholders' equity | $775,000 | $770,000 |
Income Statement for the Year Ended December 31, Year 2 | |
Sales | $1,380,000 |
Cost of goods sold | 780,000 |
Gross margin | 600,000 |
Operating expenses | 567,714 |
Net operating income | 32,286 |
Interest expense | 18,000 |
Net income before taxes | 14,286 |
Income taxes (30%) | 4,286 |
Net income | $10,000 |
Dividends on common stock during Year 2 totaled $5,000. The market price of common stock at the end of Year 2 was $0.97 per share.
Required:
- What is the companys earnings per share for Year 2?
- What is the companys price-earnings ratio for Year 2?
- What is the companys dividend payout ratio for Year 2?
- What is the companys dividend yield ratio for Year 2?
- What is the companys book value per share at the end of Year 2?
please show working for each
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