Gershwin Company Reported Net Income of $428,000 and Paid $8,500

question 86

Essay

Gershwin Company reported net income of $428,000 and paid $8,500 in preferred cash dividends during the current year.The company had 110,000 common shares issued,and 10,000 common shares in treasury during the year.The year-end market price per common share was $41.05.Calculate the company's price-earnings ratio.

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Definitions:

Meals-On-Wheels

A program designed to deliver prepared meals to individuals at home who are unable to purchase or prepare their own meals.

Elderly Service

Services designed to assist older adults in various aspects of their life, including healthcare, daily activities, and social engagement.

Educational Process

The systematic approach to learning and teaching, aimed at the acquisition of knowledge, skills, attitudes, and values.

Understood

Perceived or comprehended the meaning, significance, or nature of something.