Brielle financial services reports solve this question? Brielle Financial Services reports the following:Market price per share of common stock $25.00Earnings per share on common stock 1.25Which of the following statements is correct?(a) The price-earnings ratio is 20 and a share of common stock was selling for20 times the amount of earnings per share at the end of 2006.(b) The price-earnings ratio is 5.0% and a share of common stock was sellingfor 5.0% more than the amount of earnings per share at the end of 2006.(c) The price-earnings ratio is 10 and a share of common stock was selling for125 times the amount of earnings per share at the end of 2006.(d) The market price per share and the earnings per share are not statisticallyrelated to each other.

Formula for Price-Earnings (P/E) Ratio:P/E Ratio=Market Price per Share/ Earnings per…

Answered: Brielle Financial Services reports the…

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter16: Financial Statement Analysis

Section: Chapter Questions

Problem 2MAD

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.)
Ratio Analysis MJO Inc. has the following stockholders equity section of the balance sheet: On the balance sheet date, MJOs stock was selling for S25 per share. Required: Assuming MJOs dividend yield is 1%, what are the dividends per common share? Assuming MJOs dividend yield is 1% and its dividend payout is 20%, what is MJOs net income?
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.)
Song Corp's stock price at the end of last year was $28.75 and its earnings per share for the year were $1.30. What was its P/E ratio? a. 27.64 b. 22.12 c. 17.69 d. 23.00 e. 18.80
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? a. 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. b. The market price per share and the earnings per share are not statistically related to each other. c. 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. d. 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.
Zzz corps stock price at the end of last year was 22.45 and its earnings per share for the year were $ 1.75 . What was its P / E ratio ? a . 15.34 B. 16.35 c . 21.95 D 12.83 e . 18.48
Song Corp's stock price at the end of last year was $27.75 and its earnings per share for the year were $1.30. What was its P/E ratio?
The following information is available for Jase Company: Line Item Description Amount Market price per share of common stock $25.00 Earnings per share on common stock $1.25 Which of the following statements is true? 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 10 and a share of common stock was selling for 125 times the amount of earnings per share at the end of the year. c.The market price per share and the earnings per share are not statistically related to each other. d.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
Rutland Corp's stock price at the end of last year was $30.25 and its earnings per share for the year were $2.45. What was its P/E ratio?
If the common stock of Comdisco pays an annual dividend of $0.28, has a PE ratio of 11, and closed at 25, what are the current earnings per share? a. $7.00 b. $2.27 c. $3.08 d. $1.12
Rand Corp's stock price at the end of last year was $40.00, and its book value per share was $24.50. What was its Market/Book ratio?
Pfizer, Inc. (PFE) has earnings per share of $2.09 and a P/E ratio of 11.02. What is the stock price?

SEE MORE QUESTIONS

Recommended textbooks for you

Managerial Accounting

Accounting

ISBN:

9781337912020

Author:

Carl Warren, Ph.d. Cma William B. Tayler

Publisher:

South-Western College Pub

Managerial Accounting: The Cornerstone of Busines…

Accounting

ISBN:

9781337115773

Author:

Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:

Cengage Learning

Cornerstones of Financial Accounting

Accounting

ISBN:

9781337690881

Author:

Jay Rich, Jeff Jones

Publisher:

Cengage Learning

Managerial Accounting

Accounting

ISBN:

9781337912020

Author:

Carl Warren, Ph.d. Cma William B. Tayler

Publisher:

South-Western College Pub

Managerial Accounting: The Cornerstone of Busines…

Accounting

ISBN:

9781337115773

Author:

Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:

Cengage Learning

Cornerstones of Financial Accounting

Accounting

ISBN:

9781337690881

Author:

Jay Rich, Jeff Jones

Publisher:

Cengage Learning

EBK CFIN

Finance

ISBN:

9781337671743

Author:

BESLEY

Publisher:

CENGAGE LEARNING - CONSIGNMENT

Personal Finance

Finance

ISBN:

9781337669214

Author:

GARMAN

Publisher:

Cengage

SEE MORE TEXTBOOKS