Makers Corp. had additions to retained earnings for the year just ended of $415,000. The firm paid out $220,000 in cash dividends, and it has ending total equity of $5.6 million. The company currently has 170,000 shares of common stock outstanding. a.What are earnings per share? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)b.What are dividends per share? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)c.What is the book value per share? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)d.If the stock currently sells for $65 per share, what is the market-to-book ratio? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)e.What is the price-earnings ratio? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)f.If the company had sales of $7.45 million, what is the price-sales ratio? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

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Answered: Makers Corp. had additions to retained…

Financial Accounting

15th Edition

ISBN:9781337272124

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter17: Financial Statement Analysis

Section: Chapter Questions

Problem 20E: Five measures of solvency or profitability The balance sheet for Garcon Inc. at the end of the...

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Makers Corp. had additions to retained earnings for the year just ended of $415,000. The firm paid out $220,000 in cash dividends, and it has ending total equity of $5.6 million. The company currently has 170,000 shares of common stock outstanding.

a.	What are earnings per share? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
b.	What are dividends per share? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
c.	What is the book value per share? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
d.	If the stock currently sells for $65 per share, what is the market-to-book ratio? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
e.	What is the price-earnings ratio? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
f.	If the company had sales of $7.45 million, what is the price-sales ratio? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

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