Question: B. Basic profitability ratios - 3. Find the missing data. a b C Profit margin 10% 12% 10% Hint: Assets turnover 4 5 EM =

B. Basic profitability ratios - 3. Find the
B. Basic profitability ratios - 3. Find the missing data. a b C Profit margin 10% 12% 10% Hint: Assets turnover 4 5 EM = 1/ER Equity multiplier 1.25 ER - 1/EM ROE 20% Debt ratio 40% 25% 9. Basic growth ratio-1. Consider the following data for the year ended December 31, 2012 R Co J Co. Earnings per share P 50 P 200 Market price per ordinary share 150 500 Dividend per ordinary share 40 120 Dividend per preference share 10 20 Total shareholders' equity P10 million P60 million Ordinary shares outstanding 1 million 4 million Preference shares outstanding 500,000 2 million, cumulative Preference shares liquidation P1.30 per share P1 30 per share value Required: Calculate the following ratios for R Co. and J Co a. Price-earnings rate b. Dividend payout rate C. Dividend yield rate d. Book value per preference share e. Market to book value per share 10. Basic growth ratio-2. Find the missing data. a b C P/O rate 40% P/E rate 8 7 40% Yield rate 12% 80% Retention rate 7 25% Required: Compute the unknown value in each of the independent cases a. Payout ratio and retention rate Hint: b. Price-earnings ratio and retention rate P/O rate . P/E Rate x Yield Rate C. Payout rate and yield rate Retention Rate = 100% - P/O Rate

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