Question 5 Kim Has Gathered The Following Information On A Company

Question 5

  1. Kim has gathered the following information on a company.

Sales                                             $640,000

Dividends paid on common stock $18,000

Net profit margin                            5%

Number of shares outstanding      128,000

What is the amount of the earnings per share?

  1. $0.25
  2. $0.30
  3. $0.14
  4. $0.28
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