Financial information for Forever 18 includes the following selected data: ($ in millions) Net income Dividends on preferred stock Average shares outstanding 2024 Mobil $243 $30 300 202 $25 9253 35

Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter12: Fainancial Statement Analysis
Section: Chapter Questions
Problem 82E
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Financial information for Forever 18 includes the following selected data:
($ in millions)
Net income
Dividends on preferred stock
Average shares outstanding
Stock price
2-a. Calculate the price-earnings ratio in 2023 and 2024.
2-b. In which year is the stock priced lower in relation to reported earnings?
Complete this question by entering your answers in the tabs below.
Req 2a
2024
$243
$30
300
$11.77
Reg 2b
In which year is the stock priced lower in relation to reported earnings?
In which year is the stock priced lower in relation to reported earnings?
2023
$252
$25
350
$10.72
Transcribed Image Text:Financial information for Forever 18 includes the following selected data: ($ in millions) Net income Dividends on preferred stock Average shares outstanding Stock price 2-a. Calculate the price-earnings ratio in 2023 and 2024. 2-b. In which year is the stock priced lower in relation to reported earnings? Complete this question by entering your answers in the tabs below. Req 2a 2024 $243 $30 300 $11.77 Reg 2b In which year is the stock priced lower in relation to reported earnings? In which year is the stock priced lower in relation to reported earnings? 2023 $252 $25 350 $10.72
Financial information for Forever 18 includes the following selected data:
($ in millions)
Net income
Dividends on preferred stock
Average shares outstanding.
Stock price
2023
2-a. Calculate the price-earnings ratio in 2023 and 2024.
2-b. In which year is the stock priced lower in relation to reported earnings?
2024
Complete this question by entering your answers in the tabs below.
2024
Req 2a
Calculate the price-earnings ratio in 2023 and 2024. (Enter your price-earnings ratio values to two decimal places. Enter your
answers in millions (.e. 5,550,000 should be entered as 5.55).)
Price-Earnings Ratio
Reg 2b
$243
$30
300
$11.77
Numerator/Denominator
Amounts
2023-
$252
$25
350
$10.72
Transcribed Image Text:Financial information for Forever 18 includes the following selected data: ($ in millions) Net income Dividends on preferred stock Average shares outstanding. Stock price 2023 2-a. Calculate the price-earnings ratio in 2023 and 2024. 2-b. In which year is the stock priced lower in relation to reported earnings? 2024 Complete this question by entering your answers in the tabs below. 2024 Req 2a Calculate the price-earnings ratio in 2023 and 2024. (Enter your price-earnings ratio values to two decimal places. Enter your answers in millions (.e. 5,550,000 should be entered as 5.55).) Price-Earnings Ratio Reg 2b $243 $30 300 $11.77 Numerator/Denominator Amounts 2023- $252 $25 350 $10.72
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