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Ghella [55]
3 years ago
11

Beer Corporation had net income of $216,000, and paid dividends to common stockholders of $43,000 in 2017. The weighted average

number of shares outstanding in 2017 was 58,500 shares. Beer Corporation's common stock is selling for $79 per share on the New York Stock Exchange. Calculate Beer Corporation's price earnings ratio. Round answer to one decimal place.
Business
1 answer:
Zepler [3.9K]3 years ago
6 0

Answer:

21 times

Explanation:

Calculation to determine Beer Corporation's price earnings ratio

First step is to get Calculate the Earning per share ( EPS)

EPS=$216,000 ÷ $58,500

EPS= $3.69

Now let calculate the price earnings ratio

Price earnings ratio= $79 ÷ $3.69

Price earnings ratio= 21 times

Therefore Beer Corporation's price earnings ratio is 21 times

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Activity-based costing for a service business
shtirl [24]

Answer:

a. $56

b. $95

Explanation:

The computation is shown below:

a, The total monthly activity-based cost for Corner Cleaners Inc is

= $3.50 × 12 + $0.12 × 100 + $0.10 × 20

= $42 + $12 + $2

= $56

b  the total activity-based cost for Campbell’s visit i

= $8 × 1 + $25 × 3 + $4 × $3

= $8 + $75 + $12

= $95

Hence, the same should be considered and relevant

3 0
3 years ago
An income statement for Tommy's Bookstore for the first quarter of the year is presented below: Tommy's Bookstore Income Stateme
Semmy [17]

Answer:

Contribution margin = $200,000

Explanation:

As per the data given in the question,

Contribution margin = Sales - Variable expense

Number of books = $880,000 ÷ $55

=16,000

Gross margin  = 340,000

Variable selling expenses = 16,000 × $6

=$96,000

Variable administrative expense = $880,000 × 5%

=$44,000

Total = $96,000 + $44,000

= $140,000

Contribution margin = $340,000 - $140,000

= $200,000

7 0
3 years ago
Sacha, a dentist, has significant investment assets. She holds corporate bonds, municipal bonds, stocks and mutual funds. Sacha
erik [133]

Answer:

C) Part of the $1,500 fee will be disallowed due to the holding of the municipal bonds

Explanation:

the investment-related expenses are deductible as the miscellaneous itemized deductions. in the case the tax-exemp securities are help, the proportionate investment-related expenses are allocated to these securities and the are not allowed since the income is tax-exempt.

4 0
3 years ago
Guaranteed circulation in magazines: Multiple Choice is the maximum number of magazines that will be distributed through all cha
Alecsey [184]

Answer:

The correct answer is letter "D": is the number of copies of the magazine that the publisher expects to circulate.

Explanation:

Magazines are mediums of communication characterized for focusing on providing information to a specific customer in the market. In such a scenario we can identify auto magazines, computer and electronics magazines, and cuisine magazines just to mention a few.

The drawback of magazines relies on the delay of the information portrayed since magazines are portrayed periodically -once in a week, or once in a month usually, which implies by the time magazine is printed the information portrayed might have changed.

However, <em>magazines sales managers handle a guaranteed circulation estimate that represents the expected number of copies the publisher aims to circulate.</em>

3 0
4 years ago
Three years ago, you invested $2,750. Today, it is worth $3,500. What rate of interest did you earn?
Ket [755]

Answer:

Rate of interest is 8.37%

Explanation:

Future Value = PV(1+r)^{3}

3,500 = 2750 (1+r)^{3}

\frac{3500}{2750} = (1+r)^{3}

\sqrt[3]{\frac{3500}{2750}} = \sqrt[3]{(1+r)^{3}}

1.0837 = 1+r

r = 1.0837 - 1

r = 0.0837

r = 8.37%

Check:

3500 = 2750 (1+0.0837)^{3}

3500 = 3500

6 0
3 years ago
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