ABC Corp. had $30,000,000 in revenues (sales), $10,000,000 inCosts of Goods Sold (COGS), $3,500,000 in...

ABC Corp. had $30,000,000 in revenues (sales), $10,000,000 in Costs of Goods Sold (COGS), $3,500,000 in SG&A expenses, $5,400,000 in depreciation expenses, $3,000,000 in interest expenses, and $1,745,000 in tax expenses. ABC Corp.'s shares are currently traded at $25.52, and the company currently has 1,500,000 shares outstanding. What is the company's earnings per share (EPS)?

Group of answer choices

$4.24

$20.00

$25.52

We do not have sufficient information to answer this question.

Expert Solution

- Preparing income Statement:-

Particular	Amount in $
Net Sales	30,000,000.00
Less: Costs of Goods Sold	(10,000,000.00)
Less: SG&A expenses	(3,500,000.00)
Less: Depreciation	(5,400,000.00)
EBIT	11,100,000.00
Less: Interest Expenses	(3,000,000.00)
Earning before tax	8,100,000.00
Taxes @22%	(1,745,000.00)
Net Income (a)	6,355,000.00
No of common shares outstanding (b)	1,500,000.00
Earnings per Share(EPS) [(a)/(b)]	4.24

- Earnings per Share(EPS) = Net Income/No of common shares outstanding

= $6355,000/1500,000

= $4.24 per share

So, the company's earnings per share (EPS) is $4.24

Option 1

jeff jeffy answered 2 years ago

ABC Corp. had $30,000,000 in revenues (sales), $10,000,000 in Costs of Goods Sold (COGS), $3,500,000 in...

ABC Corp. had $30,000,000 in revenues (sales), $10,000,000 in Costs of Goods Sold (COGS), $3,500,000 in SG&A expenses, $5,400,000 in depreciation expenses, $3,000,000 in interest expenses, and $1,745,000 in tax expenses. ABC Corp.'s shares are currently traded at $25.52, and the company currently has 1,500,000 shares outstanding. What is the company's earnings per share (EPS)? What is the company's price-earnings ratio?

STU Corp. had $36,000,000 in revenues (sales), $12,600,000 in Costs of Goods Sold (COGS), $4,900,000 in...

STU Corp. had $36,000,000 in revenues (sales), $12,600,000 in Costs of Goods Sold (COGS), $4,900,000 in SG&A expenses, $4,700,000 in depreciation expenses, $3,400,000 in interest expenses, and $2,200,000 in tax expenses. The firm held $36,900,000 in total assets, of which $2,000,000 were in cash or equivalent, $4,500,000 were in accounts receivable, and $5,600,000 were in inventories. $23,400,000 of the $36,900,000 in total assets were in shareholder’s equity. What was the firm’s total assets turnover?

PQR Corp. had $35,000,000 in revenues (sales), $12,600,000 in Costs of Goods Sold (COGS), $4,900,000 in...

PQR Corp. had $35,000,000 in revenues (sales), $12,600,000 in Costs of Goods Sold (COGS), $4,900,000 in SG&A expenses, $4,600,000 in depreciation expenses, $3,400,000 in interest expenses, and $2,200,000 in tax expenses. The firm also had $36,200,000 in total assets and $14,200,000 in total liabilities during the same fiscal year. What was the firm’s fixed asset turnover?

GHI Corp. had $34,000,000 in revenues (sales), $11,500,000 in Costs of Goods Sold (COGS), $4,900,000 in...

GHI Corp. had $34,000,000 in revenues (sales), $11,500,000 in Costs of Goods Sold (COGS), $4,900,000 in SG&A expenses, $4,200,000 in depreciation expenses, $3,400,000 in interest expenses, and $2,100,000 in tax expenses. The firm had $36,200,000 in total assets, of which $24,500,000 was shareholder’s equity. The firm had 2,100,000 shares, and the price of the firm’s share was $36.45 each. What was the firm’s EBIT/Operating Income?

DEF Corp. had $31,000,000 in revenues (sales), $10,500,000 inCosts of Goods Sold (COGS), $4,500,000 in...

DEF Corp. had $31,000,000 in revenues (sales), $10,500,000 in Costs of Goods Sold (COGS), $4,500,000 in SG&A expenses, $4,000,000 in depreciation expenses, $3,200,000 in interest expenses, and $1,450,000 in tax expenses. What was the firm’s tax rate?

In 2018, ABC Corp. had sales/revenue of $26,500,000, Costs of Goods Sold (COGS) of $14,500,000, Sales,...

In 2018, ABC Corp. had sales/revenue of $26,500,000, Costs of Goods Sold (COGS) of $14,500,000, Sales, General, and Administrative (SG&A) expense of $5,600,000, Depreciation expense of $1,000,000, and Interest expense of $400,000. Also assume that its average tax rate was 19%. What was ABC Corp.'s Earnings Before Interests and Taxes (or Operating Income) as of 2018?

Figures are in millions of dollars Net sales $ 2,473.8 Cost of goods sold (COGS) $...

Figures are in millions of dollars Net sales $ 2,473.8 Cost of goods sold (COGS) $ 1,316.2 Operating expenses (S&GA) $ 575.8 Inventory $ 250.1 Accounts receivable $ 36.7 Other current assets $ 68.9 Fixed assets $ 690.0 What's the net profit margin? $____ Show work. What's the net profit margin %? _____ Show work. What's the value of total assets? $____ Show work. What's the asset turnover ? $____ Show work. What's the return on assets (ROA)? $____ Show...

A firm has net sales of $5,500,000, Cost of Goods Sold $3,500,000, Depreciation Expense of $300,000,...

A firm has net sales of $5,500,000, Cost of Goods Sold $3,500,000, Depreciation Expense of $300,000, Selling and Administrative Expenses of $500,000, Interest Expense of $200,000, and an average tax rate of 20%. 25. The firm's Net Income is: a. 210,000 b. 400,000 c.  700,000 d  800,000 26. The firm's Operating Margin is: a. 14.0% b. 21.8% c. 33.3%  d.  67.1% 27. firm's Gross Profit Margin is: a. 21.5% b. 30.0% c.  36.4% d  50.0% 28. firm's Pre-taxable Income is:...

Raines Umbrella Corp. had sales of $608,674. Cost of goods sold, administrative and selling expenses, and...

Raines Umbrella Corp. had sales of $608,674. Cost of goods sold, administrative and selling expenses, and depreciation expenses were $547,602, $89,764, and $80,449, respectively. In addition, the company had an interest expense of $85,353 and a tax rate of 31 percent. (Ignore any tax loss carryback or carryforward provisions. This means that if the company does not have any taxable income, they do not pay any tax.) Suppose Raines Umbrella Corp. paid out $52,441 in cash dividends. If spending on...

During 2009, Raines Umbrella Corp. had sales of $740,000. Cost of goods sold, administrative and selling...

During 2009, Raines Umbrella Corp. had sales of $740,000. Cost of goods sold, administrative and selling expenses, and depreciation expenses were $574,000, $89,000, and $128,000, respectively. In addition, the company had an interest expense of $100,000 and a tax rate of 30 percent. (Ignore any tax loss carryback or carryforward provisions.) Assume Raines Umbrella Corp. paid out $19,000 in cash dividends. If spending on net fixed assets and net working capital was zero, and if no new stock was issued...

Question