As a stockholder of Bozo Oil Company, you receive its annual report. In the financial statements, the firm has reported assets of $15 million, liabilities of $10 million, after-tax earnings of $3 million, and 819,000 outstanding shares of common stock.
(a) Calculate the earnings per share of Bozo Oilâs common stock. (Round your answer to 2 decimal places.)
Earnings per share: ??? $
(b) Assuming a share of Bozo Oilâs common stock has a market value of $40, what is the firmâs price-earnings ratio?. (Round your intermediate calculation to 2 decimal places and final answer to the nearest whole number.)
Price-earnings ratio: ???
(c) Calculate the book value of a share of Bozo Oilâs common stock. (Round your answer to 2 decimal places.)
Book value per share: ??? $
| As a stockholder of Bozo Oil Company, you receive its annual report. In the financial statements, the firm has reported assets of $15 million, liabilities of $10 million, after-tax earnings of $3 million, and 819,000 outstanding shares of common stock. |
| (a) | Calculate the earnings per share of Bozo Oilâs common stock. (Round your answer to 2 decimal places.) |
| Earnings per share: ??? | $ |
| (b) | Assuming a share of Bozo Oilâs common stock has a market value of $40, what is the firmâs price-earnings ratio?. (Round your intermediate calculation to 2 decimal places and final answer to the nearest whole number.) |
| Price-earnings ratio: ??? |
| (c) | Calculate the book value of a share of Bozo Oilâs common stock. (Round your answer to 2 decimal places.) |
| Book value per share: ??? | $ |
Related questions
| Makers Corp. had additions to retained earnings for the year just ended of $268,000. The firm paid out $188,000 in cash dividends, and it has ending total equity of $4.93 million. The company currently has 160,000 shares of common stock outstanding. |
| What are earnings per share? (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.) |
| Earnings | $ per share |
| What are dividends per share? (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.) |
| Dividends | $ per share |
| What is the book value per share? (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.) |
| Book value | $ per share |
| If the stock currently sells for $81 per share, what is the market-to-book ratio? (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.) |
| Market-to-book ratio | times |
| What is the price-earnings ratio? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16.) |
| Price-earnings ratio | times |
| If the company had sales of $5.28 million, what is the price-sales ratio? |
| Makers Corp. had additions to retained earnings for the year just ended of $194,000. The firm paid out $184,000 in cash dividends, and it has ending total equity of $4.89 million. The company currently has 120,000 shares of common stock outstanding. |
| What are earnings per share? (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.) |
| Earnings | $ per share |
| What are dividends per share? (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.) |
| Dividends | $ per share |
| What is the book value per share? (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.) |
| Book value | $ per share |
| If the stock currently sells for $62 per share, what is the market-to-book ratio? (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.) |
| Market-to-book ratio | times |
| What is the price-earnings ratio? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16.) |
| Price-earnings ratio | times |
| If the company had sales of $3.96 million, what is the price-sales ratio? (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.) |
| Price-sales ratio | times |
