Answer:
Earnings per share
= <u>Net income - Preferred dividend </u>
No of common stocks outstanding
= <u>$1,500,000 - 0</u>
1,000,000 shares
= $1.50 per share
P/E ratio = <u>Market price per share</u>
Earnings per share
15 = <u>Market price per share</u>
$1.50
Market price per share = 15 x $1.50
= $22.50
Explanation:
In this question, there is need to calculate earnings per share by dividing net income by number of common stocks outstanding. Thereafter, we will apply P/E ratio formula, where P/E ratio and earnings per share are known. We will make market price per share the subject of the formula.
Answer:
Critically reflect on 2 the serious issue of law and order being faced by Pakistani nation today and write a letter to the editor of an English newspaper and express your the serious issue of law and order being faced by Pakistani today and write a letter to the editor of an English newspaper and express your opinion as a responsible citizen to improve the situation. the serious issue of law and order being faced by Pakistani today and write a letter to the editor of an English newspaper and express your opinion as a responsible citizen to improve the situation.
Explanation:
Answer:
Free cash flow is $8,925,000
Explanation:
Free cash flow is the net cash cashflow available for the shareholders or for the reinvestment after paying all capital expenditure.
Free Cash flow
Earning Before Interest and Tax $10,400,000
Add: Depreciation expenses $1,000,000
Less: Capital expenditures $1,900,000
Less: Increase in net working capital <u>$575,000 </u>
Free cashflow $8,925,000
Answer:
The statement of cash flows will show $1,200 outflow from operating activities.
The balance sheet will show $700 of prepaid insurance.
The income statement will show $500 of insurance expense.
Explanation:
