The company has a price - earnings ratio of 15 times and earnings per share were $3. What is the market value of each share of stock? Multiple choice question. a)$15 b)$3 c)$5 d)$45

Q: TargetCo has earnings per share of $5.50, 4 million shares, and a price per share of $55. If…

A: Expected Market price = PE multiple * Earnings per share = 15 * 5.5 = 82.5

Q: Marj Corporation is currently selling for P22 per share. If it i selling at a Price-earnings rat

A: Earnings per share is defined as monetary amount of the earnings per share outstanding of the common…

Q: Answer the following as indicated. (Format: problem, then, solution) 6. Calculate the dividends paid…

A: The question is related to Dividends. Dividend paid is calculated with the help of following…

Q: Calculate stock price.

A: Current dividends = $1.75 Growth rate = -1.5% Required return = 14% Here, the stock has negative…

Q: Suppose a stock had an initial price of $80 per share, paid a dividend of $.60 per share during the…

A: To calculate the dividend yield and capital gains yield, we need to use the following…

Q: Assume that you invested $400,000 in a stock that returned 6%, $300,000 invested in another that…

A: To calculate the overall return earned from the investments, you need to find the weighted average…

Q: ABC company has a price-earnings ratio of 8.0 and has 3,000 preferred stock with a dividend of $3…

A: Earnings per share refer to the amount earned on each share. Higher EPS is preferable by investors.…

Q: 2. Calculate stock turnover ratio from the following information: Closing stock RO 21,000 Sales RO…

A: Ratio analysis is a method of analyzing a company's liquidity, profitability, and operational…

Q: Net income $318,000 Preferred dividends $18,000 Shares of common stock outstanding 40,000 Market…

A: Given, Net income = $318,000 Preferred dividends = $18,000 Market Price per share = $64.5 Number of…

Q: If the nominal value of a share is 15,000 rubles, the dividend rate is 8%, and the interest rate is…

A: Ps = (D / Ir%)* 100% Where, Ps- stock price; D – the dividend rate measured in money; Ir – the…

Q: it gave: current stock price: $40 current retention ratio:0.75. Muji earned $10 million for the…

A: The earnings of the company is divided into two parts as retained earnings and dividends. The…

Q: What effect will a two-for-one stock split have on the following items found on a firm's financial…

A: A stock split is an increase in the number of shares for ex. in the case of for two-for-one stock…

Q: The Bonnie Co. reported sales of $6,105,000 and has 242,700 shares outstanding. If the benchmark PS…

A: The PS ratio is the ratio of Market cap to the Total sales of the business.  It is a ratio to…

Q: Tina's Track Supply's market-to-book ratio is currently 4.5 times and PE ratio is 10.5 times. If…

A: Market to book ratio is an important ratio in finance. This ratio compares a company’s book value to…

Q: Using the stock table for Dell Technologies below, calculate the earnings per share. Round your…

A: EPS can be calculated from given P/E ratio  we know that,  P/E ratio (Price earnings ratio) = Share…

Q: How much will be the total transaction fee of buying 2,500 shares of a stock with a market value of…

A: The total transaction price can be calculated by multiplying the total number of shares by market…

Q: Jersey Medical earns $9.00 a share, sells for $120, and pays a $6 per share dividend. The stock is…

A: The question is based on the concept of Security valuation

Q: Blitz Corp. had total sales of $2,930,000 last year and has 104,000 shares of stock outstanding. The…

A: The Price-to-Sales ratio (PS) is calculated by dividing the market capitalization (stock price…

Q: Suppose a stock had an initial price of $74 per share, paid a dividend of $1.65 per share during the…

A: We invest in financial assets like stocks to get returns from our investments. The returns are…

Q: Price-earnings ratio

A: Price-earning ratio = Price per share/Earnings per share

Q: Net income $318,000 Preferred dividends $18,000 Shares of common stock outstanding 40,000 Market…

A: Formula: EPS on common stock = ( Net income - preferred dividends ) / Outstanding common shares

Q: A company reports the following: Net income $611,000 Preferred dividends $35,000 Shares of common…

A: Earning per share means amount of earning with which the company is left per share , after paying…

Q: Ultra Petroleum (UPL) has earnings per share of $1.37 and a P/E ratio of 32.56. What's the stock…

A: PE ratio describes the relationship between earning per share and share price. This ratio describes…

Q: where is 4 from in this computation? Share premium - shares = 1,600 * 4 = 6,400

A: Lets understand the basics. Share premium is a amount received over and above of face value of the…

Q: The shares of the Dyer Drilling Company sell for $50. The firm has a P/E ratio of 10 . Eighty…

A: The calculation of dividend yield involves the variable of dividend and the total price of the…

Q: Name Alphabet Symbol GOOL Close $959.22 Day Range $960.35-$965.90 52-Week Range $672.66-$965.90…

A: Earnings per share refers to the amount of profit attributable to each shareholder of the company.

Q: The net income is $800,000, the stock market price is $20, the shares outstanding is 200,000,…

A: Given: Net income = $800,000 Market price = $20 Shares outstanding = 200,000

Q: Jupiter Explorers has $7,600 in sales. The profit margin is 3 percent. There are 5,100 shares of…

A: Net Profit :— It is the difference between total revenue and total expenses.    Profit Margin :— It…

Q: The Miller Company's common stock is trading for $24. They reported Earnings Per Share of $2.00.…

A: In the given problem we are required to calculate the Price Earnings (PE) multiple of Miller Company…

Q: Gnomes R Us Just paid a dividend of $1.80 per share. The company has a dividend payout ratio of 65…

A: Dividend per share= $1.80Dividend payout ratio = 65%P/E ratio = 15.9 times

Q: Suppose that you have the following information: Net income = $1000 Number of shares = 100 shares…

A: Net income = $1000 Number of shares = 100 shares Share price = $20

Q: You have 35,000 shares of preferred stock outstanding in the market, with a current price of $101…

A: Current price per share: $101Dividend per share: $5.90

Q: Net income Dividends # of Outstanding shares Share Price $ A A A 567,750 10,200.00 7,350 130

A: Earnings per share:EPS reflects a company's profitability on a per-share basis. This indicator…

Q: The Dahlia Flower Company has earnings of $1.60 per share. a. If the benchmark PE for the company is…

A: PE ratio = Stock price/ Earning per shareSo, stock price = Earning per share*PE ratio

Q: Gnomes R Us just paid a dividend of $1.89 per share. The company has a dividend payout ratio of 65…

A: Dividend payout ratio refers to the proportion of the dividend to the earning per share which…

Q: You started with a market price of $30 and 10,000 shares. Calculate number of shares after the split…

A: Market Price = $30 A number of shares = 10,000 shares a. 2 for 7 split b. 3 for 2 split c. 2 for 5…

Q: Jersey Medical earns $10.00 a share, sells for $100, and pays a $4 per share dividend. The stock is…

A: Stock split means to increase the number of the company's outstanding shares and decrease the value…

Q: Hungry Lunch has net income of $68,710, a price-earnings ratio of 13.7, and earnings per share of…

A: Step 1 Outstanding Shares Shares outstanding relate to the stock that a firm currently has,…

Q: Problem9 Calculate the Stock. Turnover Ratio and Gross Profit Ratio form the following : Opening…

A: Introduction From the given information in the problem we will calculate the Turnover ratio and…

Q: What is the market price of a share of stock for a firm with 100,000 shares outstanding, a book…

A: Ratio analysis means where different ratio of various years of years companies has been compared and…

Q: In 20X4, P Co declared dividends totaling $.52 per common share when earnings per share were $1.31…

A: Lets understand the basics. Dividend yield ratio is a ratio which shows how much company is paying…

Q: A company has earnings per share of $3.75 and P/E of 47. What is the stock price? Question 12…

A: Stock Price = Earning per share x Price earning ratio Here we have given  Earning per share = $3.75…

Q: A company’s preferred stock currently sells for $95.47 per share and it pays a $4.00 annual…

A: Current selling price =$95.47 per shareAnnual Dividend =$4.00Required:Cost of Preferred Stock =?

Q: A company paid $1.40 in cash dividends per share. Its earnings per share is $3.40, and its market…

A: Lets understand the basics. Dividend yield is a dividend  received in compared to its market price…

Q: If RGD Corporation earned P1.50 per shahre last year and its stock traded at P30 per share , what…

A: Price Earnings ratio is the ratio between share price and earnings per share. It shows share price…

Q: 4. A company has 500 shares with a price of JD 10 per share, and a net income available for common…

A: Ratio is the tool which measures the firm’s performance by establishing the relation of different…

Q: Jersey Medical earns $9.00 a share, sells for $100, and pays a $7 per share dividend. The stock is…

A: (A)- A stock is split two for one which implies that stock holder will get 2 shares for every 1…

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.