The following information pertains to Parsons Co.: Preferred stock, cumulative: Par value per share $100 Dividend rate

Question:

The following information pertains to Parsons Co.: Preferred stock, cumulative: per share $100 rate 8% Shares outstanding 10,000 Dividends in arrears none Common stock: per share $10 Shares issued 120,000 Dividends paid per share $2.10 Market price per share $48.00 Additional paid-in capital $500,000 Unappropriated retained earnings (after closing) $270,000 Retained earnings appropriated for contingencies $300,000 Common treasury stock: Number of shares 10,000 Total cost $250,000 Net income $630,000 Instructions Compute (assume no changes in balances during the past year): (a) Total amount of stockholders' equity in the (b) Earnings per share of (c) Book value per share of (d) Payout ratio of (e) Return on equity
The following information pertains to Parsons Co.:
Preferred stock, cumulative:
Par value per share......................................................................$100
Dividend rate..............................................................................8%
Shares outstanding...................................................................10,000
Dividends in arrears.....................................................................none
Common stock:
Par value per share........................................................................$10
Shares issued.........................................................................120,000
Dividends paid per share.............................................................$2.10
Market price per share...............................................................$48.00
Additional paid-in capital.......................................................$500,000
Unappropriated retained earnings (after closing)............................$270,000
Retained earnings appropriated for contingencies...........................$300,000
Common treasury stock: Number of shares......................................10,000
Total cost...........................................................................$250,000
Net income................................................................................$630,000
Instructions
Compute (assume no changes in balances during the past year):
(a) Total amount of stockholders' equity in the
(b) Earnings per share of
(c) Book value per share of
(d) Payout ratio of
(e) Return on equity
Common Stock
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