The Gizmo, Inc has just announced year-end results as follows:

Value of company assets ………………………$12,500,000

Value of company liabilities ……………………..$6,500,000

Net income ……………………………………….$1,600,000

Common stock dividends …………………………$250,000

Preferred stock dividends …………………………$400,000

Number of shares of common stock outstanding ………1,000,000

Closing price of Gizmo Inc.'s stock……………………… $45.00 per share

a. Calculate the book value per share.

b. Calculate earnings per share.

c. Calculate Gizmo Inc.'s dividend yield.

d. Calculate the market-to-book ratio.

Answer rating: 100% (QA)

a Book value per shareShareholders EquityNumber of common stock Shareh... View the full answer