2024 LP1 Assignment Help
Chapter 2 1 Frantic Fast Foods had earnings after taxes of 390 000 in the 2023
Chapter 2 1. Frantic Fast Foods had earnings after taxes of $390,000 in the year of 2009 with 300,000 shares outstanding. On January 1, 2010, the firm issued 25,000 new shares. Because of the proceeds from these new shares and other operating improvements, earnings after taxes increased by 20 percent. a.) Compute earnings per share for the year 2009. b.) Compute earnings per share for the year 2010. 9. Prepare in good form an income statement for Virginia Slim Wear. Take your calculations all the way to computing earnings per share. 24. The Rockford Corporation has assets of $380,000, current liabilities of $40,000, and long-term liabilities of $70,000. There is $30,000 in preferred stock outstanding; 20,000 shares of common stock have been issued. a.) Compute book value (net worth) per share. b.) If there is $25,000 in earnings available to common stockholders and Rockford’s stock has a P/E of 15 times earnings per share, what is the current price of the stock c.) What is the ratio of market value per share to book value per share?