Botox Facial Care had earnings after taxes of $282,000 in 20X1 with 200,000 shares of stock outstanding. The stock price was $81.80. 2002, eamings after taxes increased to $418,000 with the same 200,000 shares outstanding. The stock price was $94.00. Compute earnings per share and the P/E ratio for 20X1. (The P/E ratio equals the stock price divided by earnings per share.) (Do not Found intermediate calculations. Round your final answers to 2 decimal places.) Eamings per share PIE ratio . Compute eamings per share and the P/E ratio for 20X2. (Do not round intermediate calculations. Round your final answers to 2 decimal places.) Earings per share P/E ratio times The stock price times Why did the P/E ratio change? (Do not round intermediate calculations. Input your answers as percents rounded to 2 decimal places) percent while EPS percent.

Botox Facial Care had earnings after taxes of $282,000 in 20X1 with 200,000 shares of stock outstanding. The stock price was $81.80. 2002, eamings after taxes increased to $418,000 with the same 200,000 shares outstanding. The stock price was $94.00. Compute earnings per share and the P/E ratio for 20X1. (The P/E ratio equals the stock price divided by earnings per share.) (Do not Found intermediate calculations. Round your final answers to 2 decimal places.) Eamings per share PIE ratio . Compute eamings per share and the P/E ratio for 20X2. (Do not round intermediate calculations. Round your final answers to 2 decimal places.) Earings per share P/E ratio times The stock price times Why did the P/E ratio change? (Do not round intermediate calculations. Input your answers as percents rounded to 2 decimal places) percent while EPS percent.

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

Section: Chapter Questions

Problem 1PS

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Similar questions

Sprint Nextel Corp. stock ended the previous year at $47.36 per share. It paid a $3.37 per share dividend last year. It ended last year at $42.89. If you owned 950 shares of Sprint, what was your dollar return and percent return? (Negative answers should be indicated by a minus sign. Round "Percent return" to 2 decimal places.)
Verne Corporation has sales of $90952, net income of $788170, total assets of $2039191, and 90952 shares of common stock outstanding. If Verne’s P/E ratio is 11, what is the company's current stock price?
North Company has a common stock price of $72. The latest reported earnings per share were $4.80 and dividends per share were $1.60. The return on equity (ROE) is 8%. The cost of equity is closest to:
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Helmuth Inc's latest net income was $1,500,000, and it had 225,000 shares outstanding. The company wants to pay out 45% of its income. What dividend per share should it declare? Do not round your intermediate calculations. O a. $2.31 O b. $3.24 O c. $3.00 O d. $2.28 Oe. $3.21
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The balance sheet for Larry Underwood Motors shows a book value of stockholders' equity (book value per share×total shares outstanding) of $1,332,000. Furthermore, the firm's income statement for the year just ended has a net income of $523,000, which is $0.251 per share of common stock outstanding. The price-earnings ratio for firms similar to Underwood Motors is 21.18. a. What price would you expect Underwood Motors shares to sell for? b. What is the book value per share for Underwood's shares?
Helmuth Inc's latest net income was $1,415,000, and it had 250,000 shares outstanding. The company wants to pay out 45% of its income. What dividend per share should it declare? Do not round your intermediate calculations. a. $3.11 Ob. $1.91 c. $5.66 Od. $8.21 O e. $2.55
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