tis Company's income statement information follows: Net sales Year 3 Income before interest and taxes $480,000 $320,000 Net income after taxes 000'86 000ʻZL Interest expense Stockholders' equity, December 31 (Year 1: $200,000) Common stock, December 31 000'6 000'00 000's 240,000 000'00z he average number of shares outstanding was 9,600 for Year 3 and 8,000 for Year 2 Required Compute the following ratios for Otis for Year 3 and Year 2. Number of times interest was earned. (Round your answers to 2 decimal places.) D. Earnings per share based on the average number of shares outstanding. (Round your answers to 2 decimal places.) c. Price-earnings ratio (market prices: Year 3, $64 per share, Year 2, $78 per share). (Round intermediate calculations ar answers to 2 decimal places.) d. Return on average equity. (Round your answers to 2 decimal places. (i.e.,.2345 should be entered as 23.45)) e. Net margin. (Round your answers to 2 decimal places. (i.e.,.2345 should be entered as 23.45)) Year 3 Year 2 times times a. Times interest earned b.Earnings per share times times c. Price-earnings ratio % d. Return on average equity e. Net margin %

Five Measures of Solvency or Profitability The balance sheet for Bearing Industries Inc. at the end of the current fiscal year indicated the following: Bonds payable, 7% $1,400,000 320,000 Preferred $5 stock, $100 par Common stock, $12 par 600,000 Income before income tax was $254,800, and income taxes were $38,800, for the current year. Cash dividends paid on common stock during the current year totaled $30,000. The common stock was selling for $40 per share at the end of the year. Determine each of the following. Round answers to one decimal place, except for dollar amounts which should be rounded to the nearest whole cent. Use the rounded answers for subsequent requirements, if required. a. Times interest earned ratio b. Earnings per share on common stock c. Price-earnings ratio d. Dividends per share of common stock e. Dividend yield $ $ times %

Statement of Stockholders' Equity Potter Financial Services, Inc. For the Year Ended December 31, 20Y1 Common Retained Stock Earnings 210,000 Total Balances, January 1, 20Y1 Issued Common Stock 40,000 250,000 60,000 128,600 10,000 448,600 60,000 128,600 10,000 348,600 Net Income for the Year Dividends Balances, December 31, 20Y1 100,000

A company reports the following: Net income $171,720 Preferred dividends $12,720 Shares of common stock outstanding 25,000 Market price per share of common stock $18.44 Calculate the company's earnings per share on common stock. Round your answer to the nearest cent.