Question

RAR Corporation hasrat income for 2018 of 542,000. Rad 16.00 hores of common stock wing at the beginning of the year and 14,0
0 0
Add a comment Improve this question Transcribed image text
Answer #1

Market Price per share = $12.00
Earnings per share = $2.50

Price/Earnings Ratio = Market Price per share / Earnings per share
Price/Earnings Ratio = $12.00 / $2.50
Price/Earnings Ratio = 4.80

Add a comment
Know the answer?
Add Answer to:
RAR Corporation hasrat income for 2018 of 542,000. Rad 16.00 hores of common stock wing at...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • On December 31, 2017, Dow Steel Corporation had 760,000 shares of common stock and 46,000 shares...

    On December 31, 2017, Dow Steel Corporation had 760,000 shares of common stock and 46,000 shares of 8%, noncumulative, nonconvertible preferred stock issued and outstanding. Dow issued a 4% common stock dividend on May 15 and paid cash dividends of $560,000 and $85,000 to common and preferred shareholders, respectively, on December 15, 2018. On February 28, 2018, Dow sold 63,000 common shares. In keeping with its long-term share repurchase plan, 4,000 shares were retired on July 1. Dow's net income...

  • On December 31, 2017, Dow Steel Corporation had 640,000 shares of common stock and 34,000 shares...

    On December 31, 2017, Dow Steel Corporation had 640,000 shares of common stock and 34,000 shares of 8%, noncumulative, nonconvertible preferred stock issued and outstanding. Dow issued a 4% common stock dividend on May 15 and paid cash dividends of $440,000 and $73,000 to common and preferred shareholders, respectively, on December 15, 2018. On February 28, 2018, Dow sold 57,000 common shares. In keeping with its long-term share repurchase plan, 6,000 shares were retired on July 1. Dow's net income...

  • 3. During 2018, Falwell Inc. had 500,000 shares of common stock and 50,000 shares of 6%...

    3. During 2018, Falwell Inc. had 500,000 shares of common stock and 50,000 shares of 6% cumulative preferred stock outstanding. The preferred stock has a par value of $100 per share. Falwell did not declare or pay any dividends during 2018. Falwell's net income for the year ended December 31, 2018, was $2.5 million. The income tax rate is 40%. Falwell granted 10,000 stock options to its executives on January 1 of this year Each option gives its holder the...

  • On December 31, 2017, Dow Steel Corporation had 790,000 shares of common stock and 49,000 shares...

    On December 31, 2017, Dow Steel Corporation had 790,000 shares of common stock and 49,000 shares of 7%, noncumulative, nonconvertible preferred stock issued and outstanding. Dow issued a 4% common stock dividend on May 15 and paid cash dividends of $590,000 and $88,000 to common and preferred shareholders, respectively, on December 15, 2018. On February 28, 2018, Dow sold 72,000 common shares. Also, as a part of a 2017 agreement for the acquisition of Merrill Cable Company, another 19,000 shares...

  • On December 31, 2017, Dow Steel Corporation had 730,000 shares of common stock and 43,000 shares...

    On December 31, 2017, Dow Steel Corporation had 730,000 shares of common stock and 43,000 shares of 9%, noncumulative, nonconvertible preferred stock issued and outstanding. Dow issued a 5% common stock dividend on May 15 and paid cash dividends of $530,000 and $82,000 to common and preferred shareholders, respectively, on December 15, 2018. On February 28, 2018, Dow sold 60,000 common shares. Also, as a part of a 2017 agreement for the acquisition of Merrill Cable Company, another 24,000 shares...

  • On December 31, 2017, Dow Steel Corporation had 790,000 shares of common stock and 49,000 shares...

    On December 31, 2017, Dow Steel Corporation had 790,000 shares of common stock and 49,000 shares of 7%, noncumulative, nonconvertible preferred stock issued and outstanding. Dow issued a 4% common stock dividend on May 15 and paid cash dividends of $590,000 and $88,000 to common and preferred shareholders, respectively, on December 15, 2018. On February 28, 2018, Dow sold 72,000 common shares. Also, as a part of a 2017 agreement for the acquisition of Merrill Cable Company, another 19,000 shares...

  • On December 31, 2017, Dow Steel Corporation had 640,000 shares of common stock and 34,000 shares...

    On December 31, 2017, Dow Steel Corporation had 640,000 shares of common stock and 34,000 shares of 8%, noncumulative, nonconvertible preferred stock issued and outstanding. Dow issued a 4% common stock dividend on May 15 and paid cash dividends of $440,000 and $73,000 to common and preferred shareholders, respectively, on December 15, 2018. On February 28, 2018, Dow sold 57,000 common shares. Also, as a part of a 2017 agreement for the acquisition of Merrill Cable Company, another 27,000 shares...

  • On January 1, 2018, Windsor Corporation was authorized to issue 400,000 shares of common stock, par...

    On January 1, 2018, Windsor Corporation was authorized to issue 400,000 shares of common stock, par value $12 per share, and 80,000 shares of 5 percent cumulative preferred stock, par value $25 per share. The preferred dividends are 2 years in arrears. Prepare Journal Entries to record the following 2018 transactions: 1. Windsor Corporation was granted a charter authorizing the issuance of 400,000 shares of common stock. 2. Issued 80,000 shares of common stock at $19 per share. 3. Issued...

  • On December 31, 2017, Dow Steel Corporation had 650,000 shares of common stock and 35,000 shares...

    On December 31, 2017, Dow Steel Corporation had 650,000 shares of common stock and 35,000 shares of 9%, noncumulative, nonconvertible preferred stock issued and outstanding. Dow issued a 5% common stock dividend on May 15 and paid cash dividends of $450,000 and $74,000 to common and preferred shareholders, respectively, on December 15, 2018. On February 28, 2018, Dow sold 64,000 common shares. Also, as a part of a 2017 agreement for the acquisition of Merrill Cable Company, another 26,000 shares...

  • Preferred stock outstanding, 1% 200 800 Net income Average number of shares of common stock outstanding...

    Preferred stock outstanding, 1% 200 800 Net income Average number of shares of common stock outstanding 300 The annual report of Sweet Cars, Inc., for the year ended December 31, 2018, included the following items (in millions): (Click the icon to view the items on the annual report.) 1. Calculate earnings per share (EPS) and the price-earnings ratio for Sweet Cars' stock. Round to the nearest cent. The price of a share of the company's stock is $35.91. 2. How...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT