Asked by Yousef Abualhawa on May 21, 2024
Verified
Monroe Company reported the following information for the year ended December 31, 2010: Net income $600,000 Preferred dividends declared and paid 60,000 Common dividends declared and paid 80,000 Average common shares outstanding 90,000 Ending market price per share 40 Net sales 4,100,000\begin{array}{ll}\text { Net income } & \$ 600,000 \\\text { Preferred dividends declared and paid } & 60,000 \\\text { Common dividends declared and paid } & 80,000 \\\text { Average common shares outstanding } & 90,000 \\\text { Ending market price per share } & 40 \\\text { Net sales } & 4,100,000\end{array} Net income Preferred dividends declared and paid Common dividends declared and paid Average common shares outstanding Ending market price per share Net sales $600,00060,00080,00090,000404,100,000 Monroe's earnings per share for 2010 was
A) $6.67
B) $6.00
C) $5.11
D) $0.15
Earnings Per Share
A company's net income divided by the number of outstanding shares of its common stock.
Net Income
The total earnings of a company after subtracting all expenses, including taxes and operational costs, from its total revenue.
Preferred Dividends
Preferred dividends are payments made to preferred shareholders before any dividends are paid to common shareholders, usually fixed and based on a percentage of the par value of the shares.
- Analyze and interpret key financial ratios such as price/earnings ratio, dividend yield, profit margin, return on total assets, current ratio, inventory turnover, and debt ratio.
Verified Answer
Learning Objectives
- Analyze and interpret key financial ratios such as price/earnings ratio, dividend yield, profit margin, return on total assets, current ratio, inventory turnover, and debt ratio.
Related questions
Listed Below Are a Number of Ratios, Followed by a ...
The Following Codes Are Used to Compute the Ratios Below \(\quad ...
The Financial Statements for the Ozzie Company Are Presented Below \(\begin{array}{lr} \text ...
What Was Lucas' Quality of Income Ratio
The Financial Statements of Flathead Lake Manufacturing Company Are Shown ...