| Stock Price |
$68 |
| EPS |
$6.00 |
| Dividends per share |
$1.24 |
| Payout ratio |
20.66% |
| Shares Outstanding |
150M |
Part 1. B&O Railroad Inc. transports industrial products and supplies throughout the North Eastern United States. Selected financial information for B&O is provided in the table below. B&O is considering a stock dividend of 7.5%. What will the stock price be after the dividend (Assuming no other changes)?
A. $62.80 B. $63.00 C. $63.26 D. $70.66 E. $73.26
Part 2. B&O is considering a stock dividend of 5%. What will earnings-per-share be after the dividend?
A. $.66 B. $4.05 C. $4.61 D. $5.71 E. $5,91