Question: Selected financial information about Upper End Clothing, Inc. is as follows: Total assets .............................................................. $20,000,000 Total liabilities ........................................................ $8,000,000 Total preferred stock ............................................... $3,000,000 Total
Selected financial information about Upper End Clothing, Inc. is as follows:
Total assets .............................................................. $20,000,000
Total liabilities ........................................................ $8,000,000
Total preferred stock ............................................... $3,000,000
Total annual preferred stock dividends ................... $240,000
Net profits after tax ................................................. $2,500,000
Number of shares of common stock outstanding ....... 500,000 shares
Current market price of common stock ...................... $50.00 a share
Annual common stock dividends ............................... $2.50 a share
Using the company’s financial information, compute the following:
a. The stock’s dividend yield
b. Book value per share
c. EPS
d. P/E ratio
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a Dividend Yield Annual Dividends Received 250 005 or 5 Market Price of the Stock 5000 b ... View full answer
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