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A Company Releases the Following Information

question 28

Essay

A company releases the following information:
Number of shares (in thousands) = 8500
Dividend = $0.17
Dividend yield = 0.9%
Profit (in thousands) = $1700
a. Calculate the share price.
b. Calculate the market value of the firm (the total value of the firm's shares).
c. Calculate earnings per share and the P/E ratio.
d. Is this company expensive relative to its earnings?


Definitions:

Libido

The psychological and emotional energy associated with instinctual biological drives, especially related to sexuality.

Complexes

A core pattern of emotions, memories, perceptions, and wishes in the personal unconscious organized around a common theme, such as power or status.

Conscious Control

The deliberate use of one's attention and decision-making to regulate thoughts, feelings, and actions.

Collective Unconscious

A term coined by Carl Jung, referring to the part of the unconscious mind which is derived from ancestral memory and experience and is common to all humankind.

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