Shareholder Profitability Ratios The following information pertains to Capital Corporation: Net income $1,005,000 Average common equity $16,500,000 Preferred shares, $10 par, 230,000 issued, 10% cumulative $2,300,000 Average common shares outstanding 525,000 Required: Calculate the return on common equity and the earnings per share. Round your answers to two decimal places.
Shareholder Profitability Ratios The following information pertains to Capital Corporation: Net income $1,005,000 Average common equity $16,500,000 Preferred shares, $10 par, 230,000 issued, 10% cumulative $2,300,000 Average common shares outstanding 525,000 Required: Calculate the return on common equity and the earnings per share. Round your answers to two decimal places.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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26.
Shareholder Profitability Ratios
The following information pertains to Capital Corporation:
| Net income | $1,005,000 |
| Average common equity | $16,500,000 |
| $2,300,000 | |
| Average common shares outstanding | 525,000 |
Required:
Calculate the return on common equity and the earnings per share. Round your answers to two decimal places.
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