the year. to calculate the company's earnings per share for 2024. (Abbreviations used: Ave.= average, OS = outstanding, SE= stockholder Earnings per share irements X Data table Preferred Stock-2%, shares issued and ou Common Stock-$5 p issued, 49,800 shares Paid In Capital in Exe

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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Rock Corp. earned net income of $140,040 and paid the minimum dividend to preferred stockholders for 2024. Assume that there are no changes in common shares outstanding during 2024. Rock's books include the following figures:
(Click the icon to view the figures.)
Read the requirements.
Requirement 1. Compute Rock's EPS for the year.
Select the formula, then enter the amounts to calculate the company's earnings per share for 2024. (Abbreviations used: Ave. = average, OS = outstanding, SE = stockholders' equity, shrs = shares. Enter the earnings per share to the nearest cent.)
= Earnings per share
- X
Requirements
1. Compute Rock's EPS (Earnings Per Share) for the year.
2.
Assume Rock's market price of a share of common stock is $7 per share.
Compute Rock's price/earnings ratio.
Print
(...)
Done
Data table
Preferred Stock-2%, $30 par value; 2,000 shares authorized, 1,000
shares issued and outstanding
Common Stock-$5 par value; 120,000 shares authorized, 51,000 shares
issued, 49,800 shares outstanding
Paid-In Capital in Excess of Par-Common
Treasury Stock-Common; 1,200 shares at cost
Print
Done
$
30,000
255,000
450,000
(24,000)
Transcribed Image Text:Rock Corp. earned net income of $140,040 and paid the minimum dividend to preferred stockholders for 2024. Assume that there are no changes in common shares outstanding during 2024. Rock's books include the following figures: (Click the icon to view the figures.) Read the requirements. Requirement 1. Compute Rock's EPS for the year. Select the formula, then enter the amounts to calculate the company's earnings per share for 2024. (Abbreviations used: Ave. = average, OS = outstanding, SE = stockholders' equity, shrs = shares. Enter the earnings per share to the nearest cent.) = Earnings per share - X Requirements 1. Compute Rock's EPS (Earnings Per Share) for the year. 2. Assume Rock's market price of a share of common stock is $7 per share. Compute Rock's price/earnings ratio. Print (...) Done Data table Preferred Stock-2%, $30 par value; 2,000 shares authorized, 1,000 shares issued and outstanding Common Stock-$5 par value; 120,000 shares authorized, 51,000 shares issued, 49,800 shares outstanding Paid-In Capital in Excess of Par-Common Treasury Stock-Common; 1,200 shares at cost Print Done $ 30,000 255,000 450,000 (24,000)
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