Crane Medical manufactures hospital beds and other institutional furniture. The company's comparative balance sheet and income statement for 2019 and 2020 follow.

Crane Medical

Comparative Balance Sheet

As of December 31

	2020	2019
Assets
Current assets
Cash	$395,000	$417,450
Accounts receivable, net	1,044,000	776,450
Inventory	717,000	681,100
Other current assets	381,300	247,000
Total current assets	2,537,300	2,122,000
Property, plant, & equipment, net	8,706,025	8,439,980
Total assets	$11,243,325	$10,561,980
Liabilities and Stockholders' Equity
Current liabilities	$3,182,000	$2,846,000
Long-Term debt	3,702,600	3,892,650
Total liabilities	6,884,600	6,738,750
Preferred stock, $5 par value	59,000	59,950
Common stock, $025 par value	104,650	103,850
Retained earnings	4,195,075	3,660,530
Total Stockholders' equity	4,358,725	3,823,330
Total liabilities and stockholders' equity	$11,243,325	$10,561,980

Crane Medical

Comparative Income Statement and Statement of Retained Earnings

For the Year

	2020	2019
sales revenue (all on account)	$10,177,250	$9,614,000
Cost of goods sold	5,611,750	5,298,750
Gross profit	4,565,500	4,315,250
Operating expenses	2,840,300	2,634,200
Net operating income	1,725,200	1,681,050
Interest expense	300,350	308,650
Net income before taxes	1,424,850	1,372,400
Income taxes (30%)	427,455	411,720
Net Income	$997,695	$960,610
Dividends paid
Preferred dividends	29,450	29,500
Common dividends	433,400	413,050
Total dividends paid	462,850	442,550
Net income retained	534,545	518,130
Retained earnings, beginning of year	3,660,530	3,142,400
Retained earnings, end of year	$4,195,075	$3,660,530

1. Calculate the earnings per share (Average of 425,000 shares outstanding for the year) for 2020

Earning per share $2.28

2. Calculate the price/earnings ratio (market price of $48 at year-end) for 2020

Price/earnings ratio ____________

3. Calculate the dividend payout ratio (dividends of $1.25 per common share for the year) for 2020

Dividend payout ratio_____________%