Question

You found the following stock quote for DRK Enterprises, Inc., at your favorite website. You also found that the stock paid an annual dividend of $.65, which resulted in a dividend yield of 1.2 percent. Assume the company has 95 million shares of stock outstanding and a P/E ratio of 17.

DAILY			YTD
Company		Symbol	Vol	Close	Chg	%Chg	%Chg
DRK Enterprises		DRK	18,649,130	??	.26	.45%	8.73%

What was net income for the most recent four quarters? (Do not round intermediate calculations. Round your answer to the nearest whole number.)

Net Income?

Answer 1

Dividend yield = annual dividend / current market price

  current market price = $0.65 / 0.012

    current market price = $54.17

Yesterday Closing price =  current market price - Closed up price

= $54.17 - $0.26

= $53.91

Earning per share = net income / number of shares

3.1864706 = net income / 95000000 shares

   net income = $302714707

Note:- P/E ratio = market share price / Earning per share

Earning per share = market share price /  P/E ratio

= $54.17 / 17

= 3.1864706