Earnings per Share, Price-Earnings Ratio, Dividend Yield The following information was taken from the financial statements of Tolbert Inc. for December 31 of the current fiscal year: Common stock, $20 par (no change during the year) Preferred $4 stock, $40 par (no change during the year)
$10,000,000
2,500,000
The net income was $1,750,000 and the declared dividends on the common stock were $1,125,000 for the current year. The market price of the common stock is $45 per share. For the common stock, determine (a) the earnings per share,.................. (b) the price-earnings ratio.................., (c) the dividends per share....................(d) the dividend yield.......................
