International Imports Corporation reported the following for its fiscal year ended June 30, 2011: Sales. $ 640,000
Question:
International Imports Corporation reported the following for its fiscal year ended June 30, 2011:
Sales…………………………. $ 640,000
Cost of sales………………… 470,000
Gross margin…………………. 170,000
Expenses…………………….. 94,000
Net income ………………….. $ 76,000
At the beginning of the year, the company had 50,000 shares of common stock outstanding and no preferred stock. At the end of the year, there were 50,000 common shares outstanding and no preferred stock. The market price of the company’s stock at year end was $ 20 per share. The company declared and paid $ 25,000 of dividends near year end.
Calculate earnings per share, the price– earnings ratio, and dividend yield for International Imports.
Common StockCommon stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may... 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...
Step by Step Answer:
Financial Accounting: A Business Process Approach
ISBN: 978-0136115274
3rd edition
Authors: Jane L. Reimers