The Following Data Are Taken from the Financial Statements $\begin{array}{lll}\text { Preferred dividends declared } & 25,000 & 25,000 \\\text { Common dividends declared } & 70,000 & 60,000\end{array}$

question 60

Essay

The following data are taken from the financial statements:
$\begin{array}{l}\begin{array}{lll}\\\\\text { Current assets}\\\text { Property, plant, and equipment}\\\text { Current liabilities}\\\text { non-interest-bearing}\\\text { Long-term liabilities, 12\%}\\\text { Preferred 10\% stock}\\\text { Common stock, \$25 par}\\\text { Retained earnings,}\\\text { beginning of year}\\\text { Net income for year}\\\end{array}\begin{array}{cc}\underline {\text { Current }}&\underline {\text { Preceding }}\\\underline {\text { Year }}&\underline {\text { Year }}\\\$ 745,000 & \$ 820,000 \\1,510,000 & 1,400,000 \\& \\160,000 & 140,000 \\400,000 & 400,000 \\250,000 & 250,000 \\1,200,000 & 1,200,000 \\\\230,000 & 160,000 \\110,000 & 155,000 \\\end{array}\end{array}$
$\begin{array}{lll}\text { Preferred dividends declared } & 25,000 & 25,000 \\\text { Common dividends declared } & 70,000 & 60,000\end{array}$
Determine for the current year the a rate earned on total assets,b rate earned on stockholders' equity,c rate e common stockholders' equity,d earnings per share on common stock,e price-earnings ratio on common stock,and yield on common stock.The current market price per share of common stock is $25.
Round percentage values to one decimal place,dollar values to two decimal places,and other ratios to one decimal

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Definitions:

Nickel

A chemical element with symbol Ni and atomic number 28, known for its strength, corrosion resistance, and usefulness in alloys.

Heads

The side of a coin that typically bears the portrait of a prominent figure or symbol, often used in probability contexts.

Experiment

A scientific procedure undertaken to make a discovery, test a hypothesis, or demonstrate a known fact.

Process

A process involves a series of actions or steps taken in order to achieve a particular end.