(a(i))[4]
Calculate the earnings per share for both firms. Give your answers to two decimal places.
(a(ii))[4]
Calculate the price earnings ratio for both firms. Give your answers to two decimal places.
(a(iii))[4]
Calculate the dividend yield for both firms. Give your answers to two decimal places.
(a(iv))[4]
Calculate the dividend cover for both firms. Give your answers to two decimal places.
(b)[8]
Evaluate how each company is performing by using every ratio calculated in part (a).
(c(i))[2]
Explain what is meant by gearing.
(c(ii))[2]
Calculate the gearing ratio for both companies to two decimal places.
(c(iii))[5]
Analyse the gearing ratios for LM plc and AB plc.
(d)[4]
Advise James on which company to invest in. Give reasons for your answer.