Answered: Net income is $200,000, preferred…

Net income is $200,000, preferred dividends are $20,000, and average common shares outstanding are 50,000. How much is earnings per share? $0.25 O $4.00 O $0.28 O $3.60

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: A company has the following capital stock outstanding: preferred shares of $15,000, common shares of…

A: Preferred stock: These stocks are somehow similar to the common stock but hold some privileges in…

Q: Based on this information, earnings per share was: Select one: a. $1.20 b. $1.00 c. $0.80 d.…

A: Earnings per share (EPS) shows how much of a company's profits are distributed to each outstanding…

Q: A firm that must pay $2,000,000 in preferred dividends has $3,000,000 available for preferred and…

A: given, Preferred dividend=$2,000,000 total dividend available =$3,000,000 dividend available for…

Q: XYZ Inc paid preferred dividends $8,500, reported a net income of $95,000, preferred stock of…

A: Return On Common Equity refers to the percentage of return or earnings from the overall profits of…

Q: A company has revenues of $24 million and depreciation and amortization expenses of $9 million.…

A: Given,Revenue = 24 millionDepreciation and amortization expenses = 9 million Operating margin =…

Q: A firm's earnings per share is $4.11 and its price to earning ratio is 9.7. What is the firm's stock…

A: Step 1: The calculation of the stock price AB1Earning per share $ 4.11 2Price-to-earning…

Q: W The net income available to stockholders is $230,000. The beginning number of common shares…

A: EARNING PER SHARE Earning Per Share is the ratio between net income for common stockholders equity…

Q: A company paid $0.76 in cash dividends per share. Its earnings per share is $4.48 and its market…

A: DPS stands for "Dividends per Share," which is the total amount of dividends paid out to…

Q: Markus Company’s common stock sold for $2.75 per share at the end of this year. The company paid a…

A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and…

Q: Price paid cash , Number of shares, Market Price per share be? Would it be? Cash: $480,000 Number…

A: A business combination is a transaction in which the acquirer obtains control of another business…

Q: A firm paid 60% of net income out in dividends. Its dividend payout ratio was 60%. The dividend per…

A: Dividend Payout = 60% of Earning Per Share 1.20 = 60% * Earning Per Share Earning Per Share = 1.20 /…

Q: The company has a price - earnings ratio of 15 times and earnings per share were $3. What is the…

A: From the above formula we can calculate market value of share

Q: Company A has 4 million shares outstanding and its net income stood at $35 million. The current…

A: The price-to-earnings (P/E) ratio is a financial metric used to evaluate a company's valuation by…

Q: uppose a stock had an initial price of $105 per share, paid a dividend of $2.50 per share during the…

A: The concept of "percentage total return" is a financial metric used to evaluate the overall…

Q: You took a short position on 200 shares at $54. You have equity of $10,500. Assets Liabilities and…

A: Initial Margin is the equity amount the investor has to deposit as a security for the short sell

Q: Problem III. Powerpuff Enterprises paid a P2.50 per share dividend on 100,000 ordinary shares and…

A: Earnings per share of the company means earnings available to each common shareholder of the…

Q: Net income for the period totaled OMR75,000, preferred dividends paid totaled OMR10,000, and common…

A: It is pertinent to note that preferred dividends are paid in prior to dividends to be paid to common…

Q: A company paid P0.48 in cash dividends per share. Its earnings per share is P3.20 and its market…

A: Investors use book value of the share to find out the entities value for equity from which they will…

Q: Francis Inc. has the following stockholders' equity section in its November 30, 2019, balance sheet:…

A: Common stock: It is a kind of security that owns ownership of equity in a firm or company. Common…

Q: Company Q has 2 Million shares outstanding. Their recent share price was $30. Net Income was $4M.…

A: Earning per share is a financial metric measuring profitability It measures how much a share earns.…

Q: Your firm has net income of $210,000. The number of outstanding shares of common stock is 140,000.…

A: Common stockholders are considered as the owner of the company to which a regular income is provided…

Q: 5. A company has $6,435,000 in common equity and 1,063,000 in outstanding shares. Shares sell at a…

A: Market value is the total value of shares based on their market price. Book value is the total value…

Q: where is 4 from in this computation? Share premium - shares = 1,600 * 4 = 6,400

A: Lets understand the basics. Share premium is a amount received over and above of face value of the…

Q: A company paid cash dividends of $0.81 per share. Its earnings per share is $6.95 and its market…

A: Dividend Yield:-This is a financial ratio which shows how much a company pays dividend on each stock…

Q: Calculated earnings per share, price earning ratio, and dividend payout ratio.

A: Formula: EPS= Net Income(PAT)- Preferred DividendNo of Outstanding Common Shares PE Ratio= Market…

Q: The net income is $800,000, the stock market price is $20, the shares outstanding is 200,000,…

A: Given: Net income = $800,000 Market price = $20 Shares outstanding = 200,000

Q: Trenton Company has provided the following Information: • Net Income, $320,000; • Preferred shares…

A: A ratio that provides information regarding the share price of a company by relating it to the…

Q: The Miller Company's common stock is trading for $24. They reported Earnings Per Share of $2.00.…

A: In the given problem we are required to calculate the Price Earnings (PE) multiple of Miller Company…

Q: A company reports basic earnings per share of $5.40, cash dividends per share of $2.20, and a market…

A: The ratio analysis helps to analyze the financial statements of the business on regular basis. The…

Q: - stock, $100 par $1,650,000 825,000 k, $3.3 par $3,300,000 1,650,000 825,000 $3,300,000 $3,300,000…

A: Answer: Plan 1 2 3 EBIT $6,600,000 $6,600,000 $6,600,000 Less: Interest $0 $0 $165,000…

Q: Write the formula for P-E ratio. P = 16 Net Profits =1.000.000 ₺ and Number of shares =1.000.000.…

A: The term "P-E" ratio stands for price earning of ratio which is used to ascertain the value of the…

Q: Net income Dividends # of Outstanding shares Share Price $ A A A 567,750 10,200.00 7,350 130

A: Earnings per share:EPS reflects a company's profitability on a per-share basis. This indicator…

Q: FedEx Corporation stock ended the previous year at $920.00 per share. It paid a $54.00 per share…

A: Total return, in investment in stocks, includes:Dividend income (distribution of profits among…

Q: Hungry Lunch has net income of $68,710, a price-earnings ratio of 13.7, and earnings per share of…

A: Step 1 Outstanding Shares Shares outstanding relate to the stock that a firm currently has,…

Q: Consider firm X and Y.The firm had total earrings of $400,000 and shares outstanding of $95,000.…

A: We have to find the total assets of the combined entity after the merger transactions, in two…

Q: How many shares of stock are outstanding?

A: EPS is calculated as the company's net income divided by the number of outstanding shares of the…

Q: Given the following partial stock quote, what was the net income for ABC Co. for the most recent…

Q: In 20X4, P Co declared dividends totaling $.52 per common share when earnings per share were $1.31…

A: Lets understand the basics. Dividend yield ratio is a ratio which shows how much company is paying…

Q: A company has earnings per share of $9.00. Its dividend per share is $1.35, its market price per…

Q: Company A has 4 million shares outstanding and its net income stood at $35 million. The current…

A: PE ratio is that ratio which shows the relationship between the price and earnings of the company.…

Q: Zero Corp's total common equity at the end of last year was $350, O a. 19.40% O b. 24.20% O c.…

A: ROE is return on the equity and that shows how much profit is earned by each shareholder of the…

Q: S. Panya has total assets of $1,000,000; common equity of $400,000; a gross profit of $800,000;…

A: The return on equity is an accounting ratio that is calculated by dividing the net income by the…

Q: Company A has 4 million shares outstanding and its net income stood at $35 million. The current…

A: In the given case, we have provided the net income, number of shares outstanding and the market…

Q: elmuth Inc's latest net income was $1,500,000, and it had 225,000 shares outstanding. The company…

A: Dividend is paid out of the net income and much dividend is paid on the dividend payout of the…

Q: A company has revenues of 24 million and depreciation and amortization expenses of 9 million.…

A: Given, Revenue = 24 million Depreciation and amortization expenses = 9 million Operating margin =…

Q: A company had a market price of $27.50 per share, earnings per share of $1.25, and dividends per…

A: The ratio analysis helps to analyze the statements of the business including balance sheet and…

Question

Current Attempt in Progress
Net income is $200,000, preferred dividends are $20,000, and average common shares outstanding are 50,000. How much is earnings
per share?
O $0.25
O $4.00
O $0.28
O $3.60
Save for Later
Attempts: 0 of 1 used
Submit Answer
MacBook Air

Expert Solution

Step 1 : Formula used

Earnings per share = $\frac{N e t i n c o m e - P r e f e r r e d d i v i d e n d}{A v e r a g e c o m m o n s h a r e s o u t s \tan d i n g}$

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

Stockholder M got 4500 shares of stocks from ABC corporation. The par value is P150. How much is the dividend of the percentage is 3%? a. P18,360.00 b. P20,250.00 c. P21,500.00 |d. P24,820.00
(12)
Lear & Co has a PE of 17, a forward PE of 14.5, and a price of $67.40 per share. The company has 85.2 million shares outstanding. Net income for next year is projected to be closest to: O A. $396.0 million. O B. $832.7 million. O C. $337.8 million.
The Phibbs Company paid total cash dividends of $200,000 on 25,000 outstanding common shares. On the most recent trading day, the common shares sold at $80. What is this company's dividend yield? Multiple Choice 25% 6.4% 16.9% 10% X
A company’s shares have a market value of $85 per share. Its net income is $3,500,000, and its weighted-average common shares outstanding is 700,000. Its price-earnings ratio is:
Helmuth Inc's latest net income was $1,415,000, and it had 250,000 shares outstanding. The company wants to pay out 45% of its income. What dividend per share should it declare? Do not round your intermediate calculations. a. $3.11 Ob. $1.91 c. $5.66 Od. $8.21 O e. $2.55
The dividend yield ratio is: A. 0.12 B. 0.08 C. none of the choice is correct D. 0.40 E. 0.50
If company Y's net income increases to $2,000,000, the number of shares outstanding is $4,000,000, and the share price increases to $10, the price-earnings multiple equals: a) 10 b) 20 c) 0.50 d) 15
Hungry Lunch has net income of $95714, a price - earnings ratio of 12.6, and earnings per share of $0.70. How many shares of stock are outstanding?
What is the answer ?
The following is from BC Corp. balance sheet: Common Stock (1 million shares) Retained Earnings $15,000,000 15,000,000 30,000,000 Additional information: Earnings = $6,600,000 P/E ratio = 20 a. What is the impact on the B/S if the firm declares a 10% stock dividend? b. What is the value of the stock dividend to an investor who owns 100 shares?