A firm had additions to retained earnings for the year just ended of $300,000.
The firm paid out $100,000 in cash dividends, and it has ending total equity of $5,000,000.
The company currently has 100,000 shares of common stock outstanding.
The current market price of the shares is $75.
- Find net income. Round to the nearest dollar.
- Find the earnings per share. Round to the nearest penny.
- Find the dividends per share. Round to the nearest penny.
- Find the book value per share. Round to the nearest penny.
- Find the market to book ratio. Round to the nearest tenth.
- Find the price-earnings ratio. Round to the nearest tenth.
Do not round intermediate calculations.