Use the Following Stock Quotes to Answer This Question

question 2

Multiple Choice

Use the following stock quotes to answer this question:

-Baker Company has 136,000 shares of stock outstanding and a PE ratio of 18.What was the net income for the most recent four quarters?

• A) $590,089
• B) $678,003
• C) $727,972
• D) $1,306,900
• E) $1,405,800

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Definitions:

Noncurrent Assets

Long-term assets that are not expected to be converted into cash within a year, such as property, plant, and equipment.

Working Capital

Current assets minus current liabilities, indicating the short-term liquidity of a business.

Stockholders' Equity

The net value that represents the owners' interest in a company, calculated as total assets minus total liabilities.

Acid-test Ratio

A financial ratio that measures a company's ability to pay off its short-term liabilities with its quick assets, providing insight into its immediate financial health.