This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Smith Motors Inc. manufactures, distributes, and services automotive parts and engines worldwide. ... (Read 34 times)

s.tung

  • Hero Member
  • *****
  • Posts: 577
on: Apr 25, 2021
Smith Motors Inc. manufactures, distributes, and services automotive parts and engines worldwide. Smiths' income statement for the year just ending is shown below. Assume that today is the first day of Year 2 and that Smith's common shares are trading at a price of $68. In its most recent Management Discussion and Analysis (MD&A) Smith's management forecast earnings-per-share of $6 for Year 2. If Smith maintains its Year 1 payout ratio, then what will the dividend (per share) be in Year 2?

Smith Motors Inc.
Income Statement
Year 1 ($000,000s)
Revenue$20,995
COGS15,624
SG&A2,466
Dep. Exp.247
EBIT2,658
Int. Exp.55
Pre-Tax Income2,603
Income Tax898
Net Income1,705
​​
Shares Outstanding (millions)205
Total Common Dividends$300.5

◦ $0.77
◦ $1.06
◦ $1.44
◦ $1.86
◦ $2.06
Corporate Finance Online ¦ Eakins, McNally ¦ 2nd Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by s.tung on Apr 25, 2021

lkoler

  • Sr. Member
  • ****
  • Posts: 358
Reply #1 on: Apr 25, 2021
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 50% of students answer this correctly


s.tung

  • Member
  • Posts: 577
Reply 2 on: Apr 25, 2021
Wow, this really help

Jsherida

  • Member
  • Posts: 314
Reply 3 on: Yesterday
Gracias!

« previous next »
 

Did you know?

The use of salicylates dates back 2,500 years to Hippocrates's recommendation of willow bark (from which a salicylate is derived) as an aid to the pains of childbirth. However, overdosage of salicylates can harm body fluids, electrolytes, the CNS, the GI tract, the ears, the lungs, the blood, the liver, and the kidneys and cause coma or death.

Did you know?

Opium has influenced much of the world's most popular literature. The following authors were all opium users, of varying degrees: Lewis Carroll, Charles, Dickens, Arthur Conan Doyle, and Oscar Wilde.

Did you know?

There used to be a metric calendar, as well as metric clocks. The metric calendar, or "French Republican Calendar" divided the year into 12 months, but each month was divided into three 10-day weeks. Each day had 10 decimal hours. Each hour had 100 decimal minutes. Due to lack of popularity, the metric clocks and calendars were ended in 1795, three years after they had been first marketed.

Did you know?

Patients should never assume they are being given the appropriate drugs. They should make sure they know which drugs are being prescribed, and always double-check that the drugs received match the prescription.

Did you know?

Once thought to have neurofibromatosis, Joseph Merrick (also known as "the elephant man") is now, in retrospect, thought by clinical experts to have had Proteus syndrome. This endocrine disease causes continued and abnormal growth of the bones, muscles, skin, and so on and can become completely debilitating with severe deformities occurring anywhere on the body.

Language Access Services Language Access Services
Rates of Childhood Overweight and Obesity Worldwide The highest rates occur in the most affluent re Rates of Childhood Overweight and Obesity Worldwide The highest rates occur in the most affluent re
On some engines, it is necessary to watch the direction the rotor is pointing to help determine how ... On some engines, it is necessary to watch the direction the rotor is pointing to help determine how ...
How to integrate by parts for definite integrals How to integrate by parts for definite integrals
The current status of gene therapy worldwide The current status of gene therapy worldwide
Parts of the Arabidopsis flower Parts of the Arabidopsis flower
Video: Neural Reflex Arc Animation

For a complete list of videos, visit our video library