In year 2020, J.C. Olson & Co. had earnings per share of $6 and paid a...

  

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In year 2020, J.C. Olson & Co. had earnings per share of $6 and paid a $4 dividend per share. During the same period, the total retained earnings increased by $24,000,000. Olson has no preferred stock, and no new common stock was issued during the year. At the end of 2020, Olson's total Shareholder Equity was $960,000,000 and its total debt (which equals its total liabilities) was $240,000,000. (a) The number of common shares was (b) The company's year-end debt-to-asset ratio was %. In year 2020, J.C. Olson & Co. had earnings per share of $6 and paid a $4 dividend per share. During the same period, the total retained earnings increased by $24,000,000. Olson has no preferred stock, and no new common stock was issued during the year. At the end of 2020, Olson's total Shareholder Equity was $960,000,000 and its total debt (which equals its total liabilities) was $240,000,000. (a) The number of common shares was (b) The company's year-end debt-to-asset ratio was %.

Answer rating: 100% (QA)

To solve the given problems well calculate the required values step by step a Number of common shares To find the number of common shares we can use t... View the full answer