Please answer all parts with explanations Eamings per Share, Price-Earnings Ratio, Dividend YleldThe following information was taken from the financial statements of Tolbert Inc. for December 31 of the current fiscal year:Common stock, $35 par value (no change during the year)$9,450,000Preferred $10 stock, $200 par (no change during the year)8,000,000The net income was $1,264,000 and the declared dividends on the common stock were $67,500 for the current year. The market price of thecommon stock is $22.40 per share.For the common stock, determine (a) the earnings per share, (b) the price-earnings ratio, (c) the dividends per share, and (d) the dividend yleld.If required, round your answers to two decimal places.a. Earnings per Shareb. Price-Earnings Ratioc. Dividends per Shared. Dividend YieldV O 10:43B5#%&*backspace6.89eryudginCValtctrl

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FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Please answer all parts with explanations

Eamings per Share, Price-Earnings Ratio, Dividend Yleld
The following information was taken from the financial statements of Tolbert Inc. for December 31 of the current fiscal year:
Common stock, $35 par value (no change during the year)
$9,450,000
Preferred $10 stock, $200 par (no change during the year)
8,000,000
The net income was $1,264,000 and the declared dividends on the common stock were $67,500 for the current year. The market price of the
common stock is $22.40 per share.
For the common stock, determine (a) the earnings per share, (b) the price-earnings ratio, (c) the dividends per share, and (d) the dividend yleld.
If required, round your answers to two decimal places.
a. Earnings per Share
b. Price-Earnings Ratio
c. Dividends per Share
d. Dividend Yield
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Earnings per share refers to the financial measure that measures the company's profit divided by the outstanding shares of its common stock, it precisely indicates the profitability of a company. The higher the earnings per share of a company, the finer its profitability.

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