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There are 2,500,000 common shares of Lowlands $Co$ . in issue. Last year, operating income was $$1, 550, 000$ . Interest expense was $$350, 000$ , and tax expense was $$400, 000$ . A common share dividend of $$0.20$ per share was paid. Required (a) Calculate the following: (i) Interest cover ratio (ii) Dividend cover ratio (iii) Earnings per share (b) If the market price was $$5$ per share, what is the price to earnings ratio?

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There are 2,500,000 common shares of Lowlands

Co

. in issue. Last year, operating income was

$1, 550, 000

. Interest expense was

$350, 000

, and tax expense was

$400, 000

. A common share dividend of

$0.20

per share was paid. Required (a) Calculate the following: (i) Interest cover ratio (ii) Dividend cover ratio (iii) Earnings per share (b) If the market price was

$5

per share, what is the price to earnings ratio?

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Expert Answer to - help There are 2,500,000 common shares of Lowlands Co. in issue. Last year, operating income was $1,

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Solution for - help There are 2,500,000 common shares of Lowlands Co. in issue. Last year, operating income was $1,

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This an additional answer to - help There are 2,500,000 common shares of Lowlands Co. in issue. Last year, operating income was $1,

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