Question: Selected data for Putin Company for 2014 and additional information on industry averages follow. Earnings (net income) $ 183,000 Preferred stock (12,600 shares at $40

Selected data for Putin Company for 2014 and additional information on industry averages follow.

Earnings (net income) $ 183,000
Preferred stock (12,600 shares at $40 par, 2%) $ 504,000
Common stock (43,700 shares no par, market value $60) 518,000
Retained earnings 581,500
$ 1,603,500
Less: Treasury stock
Preferred (1,100 shares) $ 55,000
Common (1,100 shares) 22,000 77,000
Total stockholders equity $ 1,526,500

Industry averages
Earnings per share $ 4.50
Price-earnings ratio 11.40
Return on equity 11.40 %

Required
a.

Calculate the Putin Companys ratios. (Round intermediate calculations and final answers to 2 decimal places.)

Price Earning Ratio _______ %

Return on Equity _________%

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!