The following information is available for Jase Company: Market price per share of common stock $25.00...
The following information is available for Jase Company:
Market price per share of common stock $25.00
Earnings per share on common stock $2.00
Which of the following statements is correct?
A. The price-earnings ratio is 20 and a share of common stock was selling for 20 times the amount of earnings per share at the end of the year.
B. The price-earnings ratio is 5% and a share of common stock was selling for 5% more than the amount of earnings per share at the end of the year.
C. The price-earnings ratio is 12.5 and a share of common stock was selling for 125. times the amount of earnings per share at the end of the year.
D. The market price per share and the earnings per share are not statistically related to each other.
Homework Answers
Price earnings rati0
= Market price per share/Earnings per share
= 50/2
= 12.50
Option C is the answer
Comment if you face any issues
Add Answer to:
The following information is available for Jase Company:
Market price per share of common stock $25.00...
Question 36 1 pts The following information is available for Jase Company: Market price per share...
Question 36 1 pts The following information is available for Jase Company: Market price per share of common stock $25.00 Earnings per share on common stock $1.25 Which of the following statements is correct? The price-earnings ratio is 10 and a share of common stock was selling for 125 times the amount of earnings per share at the end of the year. The market price per share and the earnings per share are not statistically related to each other. The...
Calculate the price-earnings ratio from the following information. Market price per share of common stock $42.5...
Calculate the price-earnings ratio from the following information. Market price per share of common stock $42.5 Earnings per share of common stock $2.5 a. 18 b. 16 c. 17 d. 22
Earnings per Share, Price-Earnings Ratio, Dividend Yield The following information was taken from the financial statements...
Earnings per Share, Price-Earnings Ratio, Dividend Yield The following information was taken from the financial statements of Tolbert Inc. for December 31 of the current fiscal year: Common stock, $25 par value (no change during the year) $3,750,000 Preferred $8 stock, $100 par (no change during the year) 2,000,000 The net income was $520,000 and the declared dividends on the common stock were $37,500 for the current year. The market price of the common stock is $16.80 per share. For...
Earnings per Share, Price-Earnings Ratio, Dividend Yield The following information was taken from the financial statements...
Earnings per Share, Price-Earnings Ratio, Dividend Yield The following information was taken from the financial statements of Tolbert Inc. for December 31 of the current fiscal year: Common stock, $20 par value (no change during the year) Preferred $5 stock, $200 par (no change during the year) The net income was $696,000 and the declared dividends on the common stock were $77,500 for the current year. The market price of the common stock is $11.20 per share. For the common...
Earnings per Share, Price-Earnings Ratio, Dividend Yield The following information was taken from the financial statements...
Earnings per Share, Price-Earnings Ratio, Dividend Yield The following information was taken from the financial statements of Tolbert Inc. for December 31 of the current fiscal year: Common stock, $35 par value (no change during the year) $5,250,000 Preferred $5 stock, $100 par (no change during the year) 2,000,000 The net income was $310,000 and the declared dividends on the common stock were $37,500 for the current year. The market price of the common stock is $11.20 per share. For...
Earnings per Share, Price-Earnings Ratio, Dividend Yield The following information was taken from the financial statements...
Earnings per Share, Price-Earnings Ratio, Dividend Yield The following information was taken from the financial statements of Tolbert Inc. for December 31 of the current fiscal year: Common stock, $25 par value (no change during the year) $7,500,000 Preferred $5 stock, $100 par (no change during the year) 4,000,000 The net income was $1,040,000 and the declared dividends on the common stock were $75,000 for the current year. The market price of the common stock is $21.00 per share. For...
Cost of capital Edna Recording Studios Inc. reported earnings available to common stock of $4,200,000 last...
Cost of capital Edna Recording Studios Inc. reported earnings available to common stock of $4,200,000 last year. From those earnings, the company paid a dividend of $1.26 on each of its 1,000,000 common shares outstanding. The capital structure of the company includes 40% debt, 10% preferred stock, and 50% common stock. It is taxed at a rate of 21%. If the market price of the common stock is $40 and dividends are expected to grow at a rate of 6%...
Earnings per Share, Price-Earnings Ratio, Dividend Yield The following information was taken from the financial statements...
Earnings per Share, Price-Earnings Ratio, Dividend Yield
The following information was taken from the financial
statements of Tolbert Inc. for December 31 of the current fiscal
year:
Earnings per Share, Price-Earnings Ratio, Dividend Yield The following information was taken from the financial statements of Tolbert Inc. for December 31 of the current fiscal year: Common stock, $10 par value (no change during the year) Preferred $10 stock, $100 par (no change during the year) The net income was $1,206,000 and...
Earnings per Share, Price-Earnings Ratio, Dividend Yield The following information was taken from the financial statements...
Earnings per Share,
Price-Earnings Ratio, Dividend Yield The following information was
taken from the financial statements of Tolbert Inc. for December 31
of the current fiscal year:
Earnings per Share, Price-Earnings Ratio, Dividend Yield The following information was taken from the financial statements of Tolbert Inc. for December 31 of the current fiscal year: Common stock, $30 par value (no change during the year) Preferred $10 stock, $200 par (no change during the year) The net income was $668,000 and...
Stock repurchase The following financial data on the Bond Recording Company are available: EE repurchase stock at $32 per share. The firm is currently considering whether it should use $450,000 of it...
Stock repurchase The following financial data on the Bond Recording Company are available: EE repurchase stock at $32 per share. The firm is currently considering whether it should use $450,000 of its earnings to help pay cash dividends of $1.80 per share or to b. Calculate the EPS after the repurchase. c. If the stock still sells at 15 times eamings, what will the market price be after the repurchase? d. Compare the pre- and post-repurchase eamings per share e....
Question 36 1 pts The following information is available for Jase Company: Market price per share of common stock $25.00 Earnings per share on common stock $1.25 Which of the following statements is correct? The price-earnings ratio is 10 and a share of common stock was selling for 125 times the amount of earnings per share at the end of the year. The market price per share and the earnings per share are not statistically related to each other. The...
Earnings per Share, Price-Earnings Ratio, Dividend Yield The following information was taken from the financial statements of Tolbert Inc. for December 31 of the current fiscal year: Common stock, $20 par value (no change during the year) Preferred $5 stock, $200 par (no change during the year) The net income was $696,000 and the declared dividends on the common stock were $77,500 for the current year. The market price of the common stock is $11.20 per share. For the common...
Earnings per Share, Price-Earnings Ratio, Dividend Yield The following information was taken from the financial statements of Tolbert Inc. for December 31 of the current fiscal year: Common stock, $25 par value (no change during the year) $7,500,000 Preferred $5 stock, $100 par (no change during the year) 4,000,000 The net income was $1,040,000 and the declared dividends on the common stock were $75,000 for the current year. The market price of the common stock is $21.00 per share. For...
Earnings per Share, Price-Earnings Ratio, Dividend Yield
The following information was taken from the financial
statements of Tolbert Inc. for December 31 of the current fiscal
year:
Earnings per Share, Price-Earnings Ratio, Dividend Yield The following information was taken from the financial statements of Tolbert Inc. for December 31 of the current fiscal year: Common stock, $10 par value (no change during the year) Preferred $10 stock, $100 par (no change during the year) The net income was $1,206,000 and...
Earnings per Share,
Price-Earnings Ratio, Dividend Yield The following information was
taken from the financial statements of Tolbert Inc. for December 31
of the current fiscal year:
Earnings per Share, Price-Earnings Ratio, Dividend Yield The following information was taken from the financial statements of Tolbert Inc. for December 31 of the current fiscal year: Common stock, $30 par value (no change during the year) Preferred $10 stock, $200 par (no change during the year) The net income was $668,000 and...
Stock repurchase The following financial data on the Bond Recording Company are available: EE repurchase stock at $32 per share. The firm is currently considering whether it should use $450,000 of its earnings to help pay cash dividends of $1.80 per share or to b. Calculate the EPS after the repurchase. c. If the stock still sells at 15 times eamings, what will the market price be after the repurchase? d. Compare the pre- and post-repurchase eamings per share e....
Most questions answered within 3 hours.
-
Which of the following are common negotiation outcome
mistakes?
a. Leave money on the table b....
asked 3 minutes ago -
Propose an efficient synthesis of 2-Bromo-5-nitrotoluene from
benzene. Hint: 3 steps. Consider directing effects of substituents....
asked 10 minutes ago -
Convert the following quantities:
a) 0.819 atm to torr b) 512 mmHg to bar c) 11.2...
asked 29 minutes ago -
C ++ Implement cat command
The purpose of this assignment is to provide practice using the...
asked 32 minutes ago -
we
convert sugars into another form of stored potential energy. This
is called?
asked 1 hour ago -
The manufacturers of Oriental Spice Sauce are concerned that the
sodium levels in their product vary...
asked 1 hour ago -
PLEASE DON'T ANSWER IF YOU CAN'T ANSWER ALL OF THE QUESTIONS. I
DESPERATELY NEED HELP
Consider...
asked 1 hour ago -
DO NOT ANSWER IF YOU ARE UNSKILLED IN THIS AREA! TYPE OR WRITE
EACH ANSWER CLEARLY!!...
asked 1 hour ago -
how many moles of sodium are there in 3.41 moles of the
following compounds
NaCl
Na2SO4...
asked 1 hour ago -
1.1: Draw a position vs. time graph for a sprinter
running a 100 m dash. Label...
asked 1 hour ago -
A uniform electric field exists in a region between two
oppositely charged plates. An electron is...
asked 1 hour ago -
The energy levels of a quantum mechanical system are given by
the equation: En = -hfo/√n^2+9....
asked 2 hours ago