Last year Kendall Enterprises (KE) had earnings per share of $5 and dividends per share of $2. Total retained
earnings increased by $12 million during the year, while book value per share at year-end was $40. KE has no preferred stock, and no new common stock was issued during the year. If its year-end total debt was $120 million, what was the company's total debt to total capital ratio?
As the EPS = $5; and DPS = $2 which means Addition to retained earnings is $3 per share So, No. of shares outstanding = Total... View the full answer