*Calculation of Selected Financial Ratios
Cuba Corp Instructions
Calculate the Following (Assume No Changes in Share Account

*Calculation of selected financial ratios
Cuba Corp. provides the following information for 2020:
Preferred shares, 8%, par value $ 100, cumulative, callable:

$\begin{array}{lrrr} \quad\text{ Call price share ...................................... } & \$ 105 \\\quad\text{ Shares outstanding ...................................... } & 5,000 \\\quad\text{ Dividends in arrears ...................................... } & none \\\text{ Common shares, no par value: } \\\quad\text{ Shares issued .................................................} & 60,000 \\\quad\text{ Dividends paidper share ............................. } & \$ 1.60 \\\quad\text{ Market price pershare .................................. } & \$ 36.00 \\\quad\text{ Carrying value ..............................................} & \$ 800,000 \\\text{ Retained earnings (after closing) ................... } & \$ 175,000 \\\text{Treasury shares (common) .............................} & \$ 125,000 \\\quad\text{ Number of treasury shares held ................... } & 5,000 \\\text{Net income for 2020 ...................................... } & \$ 260,000 \\ \end{array}$ Instructions
Calculate the following (assume no changes in share account balances during 2020):
a) Total amount of shareholders' equity on the December 31, 2020 statement of financial position
b) Earnings per share
c) Price earnings ratio of common shares
d. Payout ratio of common shares
e) Book value per common share