2. Building an income Statement Sidewinder, Inc., has sales of $634,000, cost of $328,000, depreciation expense of $73,000, interest expense of $38,000, and a tax rate of 21%. What is the net income for this firm?   3. Dividends and Retained Earnings Suppose the firm in Problem 2 paid out $68,000 in cash dividends. What is the addition to retained earnings?   4. Per-Share Earnings and Dividends Suppose the firm in problem 3 had 35,000 shares of common stock outstanding. What is the earnings per share, or ES, figure? What is the dividends per share figure?

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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2. Building an income Statement Sidewinder, Inc., has sales of $634,000, cost of $328,000, depreciation expense of $73,000, interest expense of $38,000, and a tax rate of 21%. What is the net income for this firm?

 

3. Dividends and Retained Earnings Suppose the firm in Problem 2 paid out $68,000 in cash dividends. What is the addition to retained earnings?

 

4. Per-Share Earnings and Dividends Suppose the firm in problem 3 had 35,000 shares of common stock outstanding. What is the earnings per share, or ES, figure? What is the dividends per share figure?

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