Augusta Ironworks reported the following fiscal year-end financial data (in 000s). Assets ................................................ $1,500 Liabilities ............................................ $

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Augusta Ironworks reported the following fiscal year-end financial data (in 000s).
Assets ................................................ $1,500
Liabilities ............................................ $ 900
Stockholders' Equity ............................... $ 600
Net Income .......................................... $ 200
Dividends per Share ............................... $ 0.50
Stock Price .......................................... $30.00
Average Shares Outstanding ..................... 100
Given this information, calculate Augusta's
a. Price-earnings ratio
b. Book value per share
c. Price-book ratio
d. Dividend yield
e. Payout ratio
Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...
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Fundamentals of Investments

ISBN: 978-0132926171

3rd edition

Authors: Gordon J. Alexander, William F. Sharpe, Jeffery V. Bailey

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