The following financial information is available for Cheney Corporation.
|
2010
|
2009
|
|
Average common stockholders' equity
|
$1,200,000
|
$900,000
|
|
Dividends paid to common stockholders
|
50,000
|
30,000
|
|
Dividends paid to preferred stockholders
|
20,000
|
20,000
|
|
Net income
|
290,000
|
200,000
|
|
Market price of common stock
|
20
|
15
|
The weighted average number of shares of common stock outstanding was 80,000 for 2009 and 100,000 for 2010.
Instructions
Calculate earnings per share and return on common stockholders' equity for 2010 and 2009.