A company has a net income of $960,000 and its weighted-average common shares outstanding are 160,000. The company's market price per share is $96, its dividend per share is $2.00, and its book value per share is $88.50. What is the Price-Earnings (P/E) ratio? (Do not round your intermediate calculations.)

A company has a net income of $960,000 and its weighted-average common shares outstanding are 160,000. The company's market price per share is $96, its dividend per share is $2.00, and its book value per share is $88.50. What is the Price-Earnings (P/E) ratio? (Do not round your intermediate calculations.)

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter10: Stockholder's Equity

Section: Chapter Questions

Problem 79E: Ratio Analysis MJO Inc. has the following stockholders equity section of the balance sheet: On the...

See similar textbooks

Similar questions

Rebert Inc. showed the following balances for last year: Reberts net income for last year was 3,182,000. Refer to the information for Rebert Inc. above. Also, assume that the market price per share for Rebert is 51.50. Required: 1. Compute the dollar amount of preferred dividends. 2. Compute the number of common shares. 3. Compute earnings per share. (Note: Round to two decimals.) 4. Compute the price-earnings ratio. (Note: Round to the nearest whole number.)
Rebert Inc. showed the following balances for last year: Reberts net income for last year was 3,182,000. Refer to the information for Rebert Inc. above. Also, assume that the dividends paid to common stockholders for last year were 2,600,000 and that the market price per share of common stock is 51.50. Required: 1. Compute the dividends per share. 2. Compute the dividend yield. (Note: Round to two decimal places.) 3. Compute the dividend payout ratio. (Note: Round to two decimal places.)
What is it's price earnings ratio on these financial accounting question?
Follow the Instruction
A company has a net income of $865,000; it's weighted average common shares....
Financial Accounting
PQR Co. has earnings of $2.66 per share. The benchmark PE for company is 19. What stock price (to two decimals) would you consider appropriate?
What is the company's price earnings ratio on these financial accounting question?
Need help with this general accounting question
On the balance sheet of Bearcat Inc., you notice "Common Stock ($0.10 par)" of $248,655, "Capital Surplus" of $282,621, and "Retained Earnings" of $210,534. If Bearcat Inc. has Sales of $292,6836 and a profit margin of 30.52%, what is the price/earnings (P/E) ratio of the firm if their stock is currently selling for $21.94 per share? O None of these options are correct 67.18 54.97 240.97 61.07 DISCL
What is the price earnings ratio on these financial accounting question?
Pfizer, Inc. (PFE) has earnings per share of $2.09 and a P/E ratio of 11.02. What is the stock price?