Question
USI Corporations common stock is currently selling at $50 a share. The company has 2,000,000 shares of common stock outstanding. USI has just made $10,000,000
USI Corporations common stock is currently selling at $50 a share. The company has 2,000,000 shares of common stock outstanding. USI has just made $10,000,000 of net income and paid $4,000,000 as dividends to stockholders. Its balance sheet shows $50,000,000 for a total value of common stock. Which of the following is incorrect? A. EPS is $5.00.
B. P/E is 10 (times).
C. Retention ratio is 40%.
D. Market-to-Book Value Ratio is 2 (times).
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Handbook Of Key Global Financial Markets Institutions And Infrastructure
Authors: Gerard Caprio
1st Edition
0123978734, 9780123978738
