During 2018, Blue Ridge Corporation reported after-tax net income of

During 2018, Blue Ridge reported after-tax net income of $4,150,000. During the year, the number of shares of stock outstanding remained constant at 15,000 of $100 par, 9 percent preferred stock and 400,000 shares of common stock. The company’s total stockholders’ equity is $20,000,000 at December 31, 2018. Blue Ridge Corporation’s was selling at $80 per share at the end of its fiscal year. All dividends for the year have been paid, including $4.80 per share to common stockholders.

Required

Compute the following by rounding to two decimal points:

a. Earnings per share.

b. Book value per share of common stock.

c. Price-earnings ratio.

d. yield.

 

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