An analyst gathered the following information about the company: 2021 net sales 2021 net profit margin 2022 expected sales growth R10 000 000 5.0% -15.0% 5.4% 120 000 2022 expected profit margin 2022 expected ordinary shares outstanding The analyst's estimate of the company's 2022 earnings per share should be closest to... O a. R2.26 O b. R2.72 O c. R3.83 O d. R4.17

Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter10: Stockholder's Equity
Section: Chapter Questions
Problem 88PSA: Ratio Analysis Consider the following information taken from the stockholders equity section: How do...
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An analyst gathered the following information about the company:
2021 net sales
2021 net profit margin
2022 expected sales growth
2022 expected profit margin
2022 expected ordinary shares outstanding
R10 000 000
5.0%
-15.0%
5.4%
120 000
The analyst's estimate of the company's 2022 earnings per share should be closest to...
O a. R2.26
O b. R2.72
O c. R3.83
O d. R4.17
Transcribed Image Text:An analyst gathered the following information about the company: 2021 net sales 2021 net profit margin 2022 expected sales growth 2022 expected profit margin 2022 expected ordinary shares outstanding R10 000 000 5.0% -15.0% 5.4% 120 000 The analyst's estimate of the company's 2022 earnings per share should be closest to... O a. R2.26 O b. R2.72 O c. R3.83 O d. R4.17
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