Dawn Alive reported the following for 2012. $\begin{array}{lr}
\text {Ending market price }&\$40.75\
\text { Earnings per share:}\
\text { Basic } & 2.50 \
\text { Diluted } & 2.08 \
\text { Dividends per share } & 1.10
\end{array}$ The price/earnings ratio and dividend payout were:
A)19.59 and 52.88%
B)16.30 and 52.88%
C)16.30 and 44.00%
D)19.59 and 44.00%
E)37.04 and 52.88%

Question

Quizplus · Accepted Answer

The price/earnings ratio is calculated by dividing the market price per share by the earnings per share. The dividend payout ratio is calculated by dividing the dividends per share by the earnings per share.Price/earnings ratio = $40.75 / $2.08 = 19.59Dividend payout ratio = $1.10 / $2.08 = 52.88%

Dawn Alive Reported the Following for 2012 The Price/earnings Ratio and Dividend Payout Were: A)19

Dawn Alive Reported the Following for 2012 The Price/earnings Ratio and Dividend Payout Were:
A)19