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The Following Information Is Available for the Grant Company for 2010

Question 147

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The following information is available for the Grant Company for 2010:
Required:
What are earnings per share for the current year?
What is the P/E ratio?
What is the book value per share of common stock?
What is the dividend yield on common stock?
What is the net profit ratio?
What is the return on equity?
 Net sales $1,200,000 Net income $600,000 Market price per share of  common stock $32 Dividend per share of  common stock $1.80 Common shares authorized  par value $10$100,000 Average common shares  Outstanding 50,0007%$100 par preferred  stock authorized $70,000 Preferred stock outstanding $30,000 Average total stockholders’  Equity $160,000 Market price per share of  Preferred $118\begin{array}{|l|r|}\hline \text { Net sales } & \$ 1,200,000 \\\hline \text { Net income } & \$ 600,000 \\\hline \text { Market price per share of } & \\\hline \text { common stock } & \$ 32 \\\hline \text { Dividend per share of } \\\hline \text { common stock }& \$ 1.80 \\\hline \text { Common shares authorized } & \\\hline \text { par value } \$ 10 & \$ 100,000 \\\hline \text { Average common shares } \\\hline\text { Outstanding }& 50,000 \\\hline 7 \% \$ 100 \text { par preferred } & \\\hline \text { stock authorized } & \$ 70,000 \\\hline \text { Preferred stock outstanding } & \$ 30,000 \\\hline \text { Average total stockholders' } & \\\hline \text { Equity }& \$ 160,000 \\ \hline \text { Market price per share of } \\\hline \begin{array}{c}\text { Preferred } \\\hline\end{array} & \$ 118 \\\hline\end{array}

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Earnings per share $600,000 - $2,100/50,...

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