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  3. part b: (6 marks) the balance sheet for xyz corpor

Part B: (6 marks) The balance sheet for XYZ Corporation at the end of the...

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Accounting

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Part B: (6 marks) The balance sheet for XYZ Corporation at the end of the current year indicates the following: - Bonds payable, 8%,$4,000,000 - 6% Preferred shares, $100 par, $1,000,000 - Ordinary shares, $10 par, $2,000,000 Profit before income taxes was $480,000 and income taxes expense for the current year amounted to $144,000. Cash dividends paid on ordinary shares were $300,000, and the ordinary shares were selling for $22 per share at the end of the year. Required: Determine each of the following by showing your calculations: a. times that bond interest was earned b. earnings per share for ordinary shares c. price-earnings ratio

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