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Masteriza [31]
3 years ago
6

A corporation has $7,000,000 in income after paying preferred dividends of $500,000. The company has 1,000,000 shares of common

stock outstanding. The market price of the stock is $56. What is the price-earnings ratio
Business
1 answer:
Finger [1]3 years ago
8 0

Answer:

Price earning ratio= 8  times

Explanation:

Price earning ratio = Price per share /Earnings per share

Price per share = 56, EPS =?

Price per share =56, EPS = Total earnings available to ordinary shareholders/Number of shares

7,000,000/1,000,000= $7  per share

Price earning ratio = 56/7= 8  times

Price earning ratio= 8  times

                         

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The first one!
Bob's stocks are worth more than leslie's.
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pshichka [43]

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A. depletion

Explanation:

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4 0
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Answer:

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7 0
3 years ago
5. Firms can measure the success of a new product, by asking three questions. Which of the following is NOT one of these questio
KatRina [158]

Answer:

The correct answer is the third option: Is the product already offered by competing firms?

Explanation:

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6 0
3 years ago
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a. subtract the company's expenses from its revenue.

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