Videos
Earnings per share:
The earning per share is the profit available for each common stock. It is profitability measure to evaluate the capability of a company to make profit on each stock invested.
Price-earnings ratio:
The price/earnings ratio reports how much dollars an investor has to invest to earn a dollar from the earnings of the company. It is calculated by dividing the market price of the share to earnings per share of the company.
Dividend payout ratio:
The ratio which indicates amount of dividend paid by a company compare to the total net income available for the common stockholders of the company.
Dividend yield ratio:
The dividend yield ratio is the dividend per share paid by the company expressed in percentage over its market price per share. It indicates how much a company is paying as dividend to the common stockholders of the company on each individual stock.
Book value per share:
The value of each individual share ascertained if total assets of the company were sold at carrying value after the creditors are paid off. It is computed by dividing the total stockholders’ equity with number of common stock outstanding.
Compute the following financial data for this year
1. Earnings per share
2. Price-earnings ratio
3. Dividend payout ratio
4. Dividend yield ratio.
5. Book value per share
Want to see the full answer?
Check out a sample textbook solution
Chapter 14 Solutions
INTRO MGRL ACCT LL W CONNECT
- Sub: financial accountingarrow_forwardWhat was over or under applied manufacturing overhead in September?arrow_forwardDavenport Industries is working on its direct labor budget for the next two months. Each unit of output requires 0.48 direct labor hours. The direct labor rate is $9.20 per direct labor hour. The production budget calls for producing 7,200 units in July and 7,800 units in August. If the direct labor workforce is fully adjusted to the total direct labor hours needed each month, what would be the total combined direct labor cost for the two months?arrow_forward
College Accounting, Chapters 1-27AccountingISBN:9781337794756Author:HEINTZ, James A.Publisher:Cengage Learning,
Century 21 Accounting Multicolumn JournalAccountingISBN:9781337679503Author:GilbertsonPublisher:Cengage
Cornerstones of Financial AccountingAccountingISBN:9781337690881Author:Jay Rich, Jeff JonesPublisher:Cengage Learning
Managerial AccountingAccountingISBN:9781337912020Author:Carl Warren, Ph.d. Cma William B. TaylerPublisher:South-Western College Pub
Financial And Managerial AccountingAccountingISBN:9781337902663Author:WARREN, Carl S.Publisher:Cengage Learning,