ic City Corporation reported net income of $148,750 for 2019. The company had 10,000 shares of cumulative 4%, $50 par value preferred stock issued and outstanding for all of 2019. In addition, Atlantic City began 2019 with 18,000 shares of common stock issued and outstanding and issued an additional 8,000 shares of common stock on October 1, 2019. The company declared and paid the dividend on preferred stock on December 15, 2019 and declared and paid a $1.00 dividend on its common stock on November 30, 2019. Calculate Atlantic City’s 2019 basic earnings per sha
Financial Ratios
A Ratio refers to a figure calculated as a reference to the relationship of two or more numbers and can be expressed as a fraction, proportion, percentage, or the number of times. When the number is determined by taking two accounting numbers derived from the financial statements, it is termed as the accounting ratio.
Return on Equity
The Return on Equity (RoE) is a measure of the profitability of a business concerning the funds by its stockholders/shareholders. ROE is a metric used generally to determine how well the company utilizes its funds provided by the equity shareholders.
Atlanic City Corporation reported net income of $148,750 for 2019. The company had 10,000 shares of cumulative 4%, $50 par value
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