In the year just ended a firm had EBIT of $597,000, interest expense of $129,000,
a dividend payout ratio of 42% and a tax rate of 34%.
The firm has 50,000 shares
What was the firm’s earnings per share?($6.18) What was the firm’s
dividend per share? (2.59) What was the addition to Retained Earnings for the
At the end of the year a firm’s balance sheet shows current liabilities of $300,000,
long-term liabilities of $2,500,000, Common Stock (600,000 shares at par value
$600,000, Paid in Surplus of $3,000,000, Retained Earnings of $4,500,000
and net fixed assets of $6,500,000.
What would the balance sheet show as the
total value of current assets? ($4,400,000) What is the Book Value per share of
the firm’s common stock? ($13.50)
If you put $6,500 in an account that earns interest at the rate of 6 & compounded
annually, how much will you have in the account after 10 years? ($11,640.51)
How about if your interest rate was 6% compounded daily? ($11,843.19)