Recher Corporation's Common Stock Has a Par Value of $3

question 323

Multiple Choice

Recher Corporation's common stock has a par value of $3 per share and has been stable at a total value of $270,000 on the company's balance sheet for several years. The total stockholders' equity at the end of this year was $1,023,000 and at the beginning of the year was $1,010,000. Net income for the year was $17,500. Dividends on common stock during the year totaled $4,500. The market price of common stock at the end of the year was $3.76 per share.The company's price-earnings ratio is closest to: (Round your intermediate calculations to 2 decimal places.)

• A) 19.79
• B) 0.51
• C) 8.36
• D) 12.53

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Definitions:

Right Hemisphere

The right half of the brain, responsible for spatial abilities, visual imagery, and the processing of music and other nonverbal content.

Logical Analysis

The process of assessing a situation or statement by breaking it down into smaller parts to evaluate its logic and validity.

Systematic Visual Scanning

A methodical observation technique that involves looking over an area or object in a strategic, orderly manner.

Neural Connections

The links between neurons in the brain that are the basis for learning, memory, and thought processing.