Calculate the firm earning per share

Assignment Help Finance Basics
Reference no: EM131923426

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.

Reference no: EM131923426

Questions Cloud

What career debbie pursue if discount rate is five percent : Suppose that musical conservatories raise their tuition, so that it now costs Debbie $60,000. What career will Debbie pursue if the discount rate is 5 percent?
What is the value of the inheritance : What is the value of the inheritance today (in time 0) if the appropriate discount rate is 5% and you compound annually?
What would be the markup amount on this second jeep : ?a. What would the Markup % be for a 2010 Jeep Grand Cherokee, if it costs the used car dealer $8,110 but he sells it for $14,750?
Discuss the difference between general and specific training : Discuss the difference between general training and specific training. Who pays for and collects the returns from each type of training?
Calculate the firm earning per share : 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.
What is the highest price that you would be willing to pay : You own shares of ABC Corporation, which just paid a dividend of $1.34 per share. You have projected a long-term constant growth rate for the dividends of 7.1%.
What the differences are between leadership and authority : Discuss what the differences are between leadership and authority? What are the differences between informal and formal authority?
What conditions can rate of return to schooling be estimated : Discuss how differences in discount rates or in ability across workers lead? Under what conditions can the rate of return to schooling be estimated?
How many days would it take for the company to collect : A wholesale Fabric Company estimates its average account receivable at $63,000 while its book shows $472,500 in credit sales.

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd