The balance sheet for Blan Corporation at the end of the current year indicates the following:
Bonds payable,8% $4,000,000
6% Preferred stock,$100 par 1,000,000
Common stock,$10 par 2,000,000
Income before income taxes was $480,000 and income taxes expense for the current year amounted to $144,000.Cash dividends paid on common stock were $300,000,and the common stock was selling for $22 per share at the end of the year.There were no ownership changes during the year.
Required:
Calculate each of the following:
a.Earnings per share
b.Price/earnings ratio
c.Dividend payout ratio
Unit 12-3,

Question

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The Answer of The balance sheet for Blan Corporation at the end of the current year indicates the following:
Bonds payable,8% $4,000,000
6% Preferred stock,$100 par 1,000,000
Common stock,$10 par 2,000,000
Income before income taxes was $480,000 and income taxes expense for the current year amounted to $144,000.Cash dividends paid on common stock were $300,000,and the common stock was selling for $22 per share at the end of the year.There were no ownership changes during the year.
Required:
Calculate each of the following:
a.Earnings per share
b.Price/earnings ratio
c.Dividend payout ratio
Unit 12-3,

The Balance Sheet for Blan Corporation at the End of the Current