During Year 3, Blue Ridge Corporation reported after-tax net income of $4,150,000. During the year, the number

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During Year 3, Blue Ridge Corporation reported after-tax net income of $4,150,000. During the year, the number of shares of stock outstanding remained constant at 15,000 of $100 par, 9 percent preferred stock and 400,000 shares of common stock. The company’s total stockholders’ equity is $20,000,000 at December 31, Year 3. Blue Ridge Corporation’s common stock was selling at $80 per share at the end of its fiscal year. All dividends for the year have been paid, including $4.80 per share to common stockholders.


Required
Compute the following by rounding to two decimal points:

a. Earnings per share.

b. Book value per share of common stock.

c. Price-earnings ratio.

d. Dividend yield.

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Survey Of Accounting

ISBN: 9781260575293

6th Edition

Authors: Thomas Edmonds, Christopher Edmonds, Philip Olds

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