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The Following Information Was Taken from the Financial Statement of Fox

Question 189

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The following information was taken from the financial statement of Fox Resources for December 31 of the current fiscal year:?Common stock, $20 par value
(no change during the year)$5,000,000Preferred 10% stock, $40 par
(no change during the year)2,000,000?The net income was $600,000, and the declared dividends on the common stock were $125,000 for the current year. The market price of the common stock is $20 per share.Calculate for the common stock:
(a) Earnings per share
(b) Price-earnings ratio
(c) Dividends per share and dividend yield?Round to one decimal place except earnings per share, which should be rounded to two decimal places.

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