Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Basic Finance Expert

Finance


Home >> Basic Finance

A firm's net profit is $ 128,000. It gives out $39,750 in dividends for the preferred stockholders, and distribute the rest over the 25,000 shares of common stocks.

a. Calculate the firm's earning per share (EPS).

b. Calculate the firm's price-earnings ratio (P/E) if the market price of the stock is $36.

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M92762087
  • Price:- $10

Priced at Now at $10, Verified Solution

Have any Question?


Related Questions in Basic Finance

Payments of 1400 in 1 year and another 2300 in 5 years to

Payments of $1,400 in 1 year and another $2,300 in 5 years to settle a loan are to be rescheduled with a payment of $1,150 in 8 months and the balance in 16 months. Calculate the payment required in 16 months for the res ...

This morning you purchased one share of stock for 26 the

This morning, you purchased one share of stock for $26. The stock pays $.32 per share each quarter as a dividend. What must the stock price be 1 year from now if you want to earn a total return of 16 percent for the year ...

Christina is considering a project that will require 534000

CHRISTINA is considering a project that will require $534,000 for fixed assets, $218,000 for inventory, and $41,000 for accounts receivable. Short-term debt is expected to increase by $165,000. The project has a six-year ...

Franks is looking at a new sausage system with an installed

Franks is looking at a new sausage system with an installed cost of $375,000. This cost will be depreciated straight-line to zero over the project's five-year life, at the end of which the sausage system can be scrapped ...

Your firm spends 5200 every month on printing and mailing

Your firm spends $ 5,200 every month on printing and mailing? costs, sending statements to customers. If the interest rate is 0.52% per? month, what is the present value of eliminating this cost by sending the statements ...

The inside door has total debt of 76662 total equity of

The Inside Door has total debt of $76662, total equity of $224477, and a return on equity of 12.7 percent. What is the return on assets? Input your answer as a decimal rounded to 4 places (i.e., 1% = 0.0100).

What is the annual coupon rate of a 7-year corporate bond

What is the annual coupon rate of a 7-year corporate bond given that its current price is $930, par = 1,000, semi-annual coupon, YTM=10%?

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. Assume that the first cash flow will occur one year from today (that is, at t = 1). (Round your answer ...

If a stock has a beta coefficient of 8 and a required rate

If a stock has a beta coefficient of .8 and a required rate of return equal to 11%, while the market return is equal to 12.5%, what is the risk-free rate of return?

Question - you are finalizing a bank loan for 200000 for

Question - You are finalizing a bank loan for $200,000 for your small business and the closing fees payable to the bank are 2% of the loan. After paying the fees, what will be the net amount of funds from the loan availa ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As

Follow Us

© Copyright 2013-14 mywordsolution.com All rights reserved