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Selected data for Zachary Company for Year 3 follows: Earnings (net income) $ 192,000 Preferred stock (11,800 shares at $50 par, 6%) $ 590,000 Common
Selected data for Zachary Company for Year 3 follows:
Earnings (net income) | $ | 192,000 | |||||
Preferred stock (11,800 shares at $50 par, 6%) | $ | 590,000 | |||||
Common stock (44,200 shares no par, market value $52) | 517,000 | ||||||
Retained earnings | 568,500 | ||||||
$ | 1,675,500 | ||||||
Less: Treasury stock | |||||||
Preferred (2,000 shares) | $ | 45,000 | |||||
Common (2,000 shares) | 30,000 | 75,000 | |||||
Total stockholders equity | $ | 1,600,500 | |||||
a. Calculate the Zachary Companys earnings per share ratio, price-earnings ratio and return on equity ratio. (Round intermediate calculations and final answers to 2 decimal places.)
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