Phelps Labs has assets of $452,000, current liabilities of $93,000, and long-term liabilities of $137,000. There...

 

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Phelps Labs has assets of $452,000, current liabilities of $93,000, and long-term liabilities of $137,000. There is $33,800 in preferred stock outstanding: 20,000 shares of common stock have been issued. a. Compute book value (net worth) per share. (Round the final answer to 2 decimal places.) Book value per share b. If there is $30,900 in earnings available to common shareholders and Phelp's stock has a P/E ratio of 20 times EPS, what is the current price of the stock? (Do not round intermediate calculations. Round the final answer to 2 decimal places.) Current price c. What is the ratio of market value per share to book value per share? (Do not round intermediate calculations. Round the final answer to 2 decimal places.) Ratio Phelps Labs has assets of $452,000, current liabilities of $93,000, and long-term liabilities of $137,000. There is $33,800 in preferred stock outstanding: 20,000 shares of common stock have been issued. a. Compute book value (net worth) per share. (Round the final answer to 2 decimal places.) Book value per share b. If there is $30,900 in earnings available to common shareholders and Phelp's stock has a P/E ratio of 20 times EPS, what is the current price of the stock? (Do not round intermediate calculations. Round the final answer to 2 decimal places.) Current price c. What is the ratio of market value per share to book value per share? (Do not round intermediate calculations. Round the final answer to 2 decimal places.) Ratio

Answer rating: 100% (QA)

a Book value net worth per share can be calculated as follows Net worth Assets Liabilities Preferred ... View the full answer