Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Problem 19-4 Per-Share Ratios (LO3, CFA6) You are given the following information for Smashville, Inc. Cost of goods sold: $204,000 Investment income: $2,000 Net sales:

Problem 19-4 Per-Share Ratios (LO3, CFA6)

You are given the following information for Smashville, Inc.

Cost of goods sold: $204,000
Investment income: $2,000
Net sales: $369,000
Operating expense: $80,000
Interest expense: $7,400
Dividends: $10,000
Tax rate: 21 %

Current liabilities: $16,000
Cash: $21,000
Long-term debt: $28,000
Other assets: $36,000
Fixed assets: $163,000
Other liabilities: $5,000
Investments: $40,000
Operating assets: $35,000

During the year, Smashville, Inc., had 17,000 shares of stock outstanding and depreciation expense of $15,000. Calculate the book value per share, earnings per share, and cash flow per share. (Do not round intermediate calculations. Round your answers to 2 decimal places.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Sound Investing, Chapter 6 - Valuation Of Assets And Liabilities

Authors: Kate Mooney

1st Edition

0071719288, 9780071719285

More Books

Students also viewed these Accounting questions