The balance sheet for Garcon Inc. at the end of the current fiscal year indicated the following:

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The balance sheet for Garcon Inc. at the end of the current fiscal year indicated the following:
            Bonds payable, 8%                       $5,000,000
            Preferred $4 stock, $50 par            2,500,000
            Common stock, $10 par                 5,000,000
Income before income tax was $3,000,000, and income taxes were $1,200,000 for the current year. Cash dividends paid on common stock during the current year totaled $1,200,000. The common stock was selling for $32 per share at the end of the year. Determine each of the following: (A)times interest earned ratio (B) earnings per share on common stock, (C) price-earnings ratio, (D) dividends per share of common stock, and (E) dividend yield. (Round ratios and percentages to one decimal place, except for per-share amounts.)

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Financial And Managerial Accounting

ISBN: 9781337119207

14th Edition

Authors: Carl S. Warren, James M. Reeve, Jonathan Duchac

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