FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Use this information for Kellman Company to answer the question that follow.
The
Kellman Company | ||
Year 2 | Year 1 | |
Total current assets | $613,800 | $574,400 |
Total investments | 69,500 | 48,400 |
Total property, plant, and equipment | 852,500 | 795,200 |
Total current liabilities | 117,500 | 86,000 |
Total long-term liabilities | 313,200 | 230,300 |
82,100 | 82,100 | |
Common stock, $10 par | 595,800 | 595,800 |
Paid-in capital in excess of par—Common stock | 65,300 | 65,300 |
361,900 | 358,500 |
Using the balance sheets for Kellman Company, if net income is $117,000 and interest expense is $40,900 for Year 2, and the market price of common shares is $34, what is the price-earnings ratio on common stock for Year 2? (Round intermediate calculation and final answer to two decimal places.)
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