2A2W THE FOLLOWING INFORMATION CONCERNING ARNOLD COMPANY’S COMMON STO...
88.
CSO: 2A2e
LOS: 2A2w
The following information concerning Arnold Company’s common stock was included in
the company’s financial reports for the last two years.
Year 2
Year 1
Market price per share on December 31
$60
$50
Par value per share
10
10
Earnings per share
3
3
Dividends per share
1
1
Book value per share on December 31
36
34
Arnold’s dividend yield in Year 2
a.
has increased compared to Year 1.
b.
is indicative of the company’s failure to provide a positive return to the investors.
c.
is the same as Year 1.
d.
has declined compared to Year 1.