Farrell Company has provided the following data: Common stock: Shares outstanding 30,000 Market value, December 31 $165,000 Book value, December 31 $90,000 Dividends paid $50,000 Preferred stock, 10%, $100 par $100,000 Net income $150,000 Interest on long-term debt $15,000 The price-earnings ratio is: A. 1.10 B. 1.18 C. 1.65 D. 1.83

The Castle Company recently reported net profits after taxes of $15.8 million. It has 2.5 million shares of common stock outstanding and pays preferred dividends of $1 million a year. The company’s stock currently trades at $60 per share. Compute the stock’s earnings per share (EPS). What is the stock’s P/E ratio? Determine what the stock’s dividend yield would be if it paid $1.75 per share to common stockholders.

Winston Watch’s stock price is $75 per share. Winston has $10 billion in total assets. Its balance sheet shows $1 billion in current liabilities, $3 billion in long-term debt, and $6 billion in common equity. It has 800 million shares of common stock outstanding. What is Winston’s market/book ratio?

Given the following year-end information for Somerset Corporation, compute its basic earnings per share. Net income, 13,000 Preferred dividends declared, 4,000 Weighted average common shares for the year, 4,500

Financial leverage Costco Wholesale Corporation (COST) and Wel-Mart Stroes Inc. (WMT)reported the following data (in milllions) for a recent year: Compute the return on stockholders equity. Round to one decimal place.

Rebert Inc. showed the following balances for last year: Reberts net income for last year was 3,182,000. Refer to the information for Rebert Inc. above. Required: 1. Calculate the average common stockholders equity. 2. Calculate the return on stockholders equity.

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The following selected data were taken from the financial statements of Vidahill Inc. for December 31, 20Y7, 20Y6, and 20Y5:   December 31   20Y7 20Y6 20Y5 Total assets $300,000   $270,000   $240,000   Notes payable (8% interest) 100,000   100,000   100,000   Common stock 40,000   40,000   40,000   Preferred 3% stock, $100 par 20,000   20,000   20,000     (no change during year)             Retained earnings 103,900   77,450   60,000   The 20Y7 net income was $27,050, and the 20Y6 net income was $18,050. No dividends on common stock were declared between 20Y5 and 20Y7. Preferred dividends were declared and paid in full in 20Y6 and 20Y7. a.  Determine the return on total assets, the return on stockholders' equity, and the return on common stockholders’ equity for the years 20Y6 and 20Y7. When required, round to one decimal place.   20Y7 20Y6 Return on total assets fill in the blank 1 % fill in the blank 2 % Return on stockholders’ equity fill in the blank 3 %…

The following selected data were taken from the financial statements of Vidahill Inc. for December 31, 20Y7, 20Y6, and 20Y5:   December 31   20Y7 20Y6 20Y5 Total assets $289,000   $260,000   $231,000   Notes payable (8% interest) 100,000   100,000   100,000   Common stock 40,000   40,000   40,000   Preferred 6% stock, $100 par 20,000   20,000   20,000     (no change during year)             Retained earnings 118,925   80,715   60,000   The 20Y7 net income was $39,410, and the 20Y6 net income was $21,915. No dividends on common stock were declared between 20Y5 and 20Y7. Preferred dividends were declared and paid in full in 20Y6 and 20Y7. a.  Determine the return on total assets, the rate earned on stockholders' equity, and the return on common stockholders’ equity for the years 20Y6 and 20Y7. When required, round to one decimal place.   20Y7 20Y6 Return on total assets   %   % Return on stockholders’ equity   %   % Return on common stockholders’ equity   %…

The following selected data were taken from the financial statements of Vidahill Inc. for December 31, 20Y7, 20Y6, and 20Y5:   December 31   20Y7 20Y6 20Y5 Total assets $242,000   $218,000   $194,000   Notes payable (8% interest) 80,000   80,000   80,000   Common stock 32,000   32,000   32,000   Preferred 3% stock, $100 par 16,000   16,000   16,000     (no change during year)             Retained earnings 90,020   66,300   48,000   The 20Y7 net income was $24,200, and the 20Y6 net income was $18,780. No dividends on common stock were declared between 20Y5 and 20Y7. Preferred dividends were declared and paid in full in 20Y6 and 20Y7. a.  Determine the return on total assets, the return on stockholders' equity, and the return on common stockholders’ equity for the years 20Y6 and 20Y7. Round percentages to one decimal place.   20Y7 20Y6 Return on total assets fill in the blank 1 % fill in the blank 2 % Return on stockholders’ equity fill in the blank 3 % fill in…