00 6 Part 4 of 4 16.7 points Skipped Required information [The following information applies to the questions displayed below.] Simon Company's year-end balance sheets follow. At December 31 Assets Current Year 1 Year Ago 2 Years Ago Cash $ 31,466 $ 37,547 Accounts receivable, net eBook Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable 91,197 119,296 10,133 286,612 $ 538,704 $ 37,152 63,066 83,337 9,460 271,385 $ 464,400 $ 80,838 107,880 163,500 112,182 $ 135,479 Long-term notes payable Common stock, $10 par value Hint 102,289 162,500 138,436 Total liabilities and equity $ 538,704 $ 464,400 Print Retained earnings For both the current year and one year ago, compute the following ratios: 52,106 53,855 4,214 239,278 $ 387,000 $ 50,062 85,527 163,500 87,911 $ 387,000 References The company's income statements for the Current Year and 1 Year Ago, follow. Current Year 1 Year Ago $ 700,315 $ 552,636 For Year Ended December 31 Sales Cost of goods sold Other operating expenses Interest expense Income tax expense Total costs and expenses Net income Earnings per share $ 427,192 217,098 11,905 9,104 665,299 $ 35,016 $ 2.15 $ 359,213 139,817 12,711 8,290 520,031 $ 32,605 $ 2.01 6 For both the current year and one year ago, compute the following ratios: The company's income statements for the Current Year and 1 Year Ago, follow. Part 4 of 4 6.7 points Skipped For Year Ended December 31 Sales Cost of goods sold Other operating expenses Interest expense Current Year 1 Year Ago $ 700,315 $ 552,636 $ 427,192 217,098 Income tax expense Total costs and expenses Net income Earnings per share 11,905 9,104 665,299 $ 35,016 $ 2.15 $ 359,213 139,817 12,711 8,290 520,031 $ 32,605 $ 2.01 eBook Hint Additional information about the company follows. Common stock market price, December 31, Current Year Common stock market price, December 31, 1 Year Ago Annual cash dividends per share in Current Year Annual cash dividends per share 1 Year Ago $ 33.00 31.00 0.38 0.19 For both the current year and one year ago, compute the following ratios: Print 1. Return on equity. References 2. Dividend yield. 3a. Price-earnings ratio on December 31. 3b. Assuming Simon's competitor has a price-earnings ratio of 6, which company has higher market expectations for future growth? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3A Required 3B Compute the return on equity for each year. 00 6 Part 4 of 4 16.7 points Skipped Required information 1. Return on equity. 2. Dividend yield. 3a. Price-earnings ratio on December 31. 3b. Assuming Simon's competitor has a price-earnings ratio of 6, which company has higher market expectations for future growth? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3A Required 3B eBook Compute the return on equity for each year. Return On Equity Hint Numerator: Print Current Year: 1 Year Ago: References Denominator: Return On Equity Return on equity % % 6 Common stock market price. December 31, 1 rear AGO 31.00 0 Required information Part 4 of 4 16.7 points Skipped For both the current year and one year ago, compute the following ratios: 1. Return on equity. 2. Dividend yield. 3a. Price-earnings ratio on December 31. 3b. Assuming Simon's competitor has a price-earnings ratio of 6, which company has higher market expectations for future growth? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3A Required 3B eBook Hint Compute the dividend yield for each year. (Round your answers to 2 decimal places.) Print Current Year: 1 Year Ago References Numerator: Dividend Yield Denominator: < Required 1 Required 3A > = Dividend Yield = Dividend yield = % = % 6 Part 4 of 4 16.7 points Skipped Required information p For both the current year and one year ago, compute the following ratios: 1. Return on equity. 2. Dividend yield. 3a. Price-earnings ratio on December 31. 3b. Assuming Simon's competitor has a price-earnings ratio of 6, which company has higher market expectations for future growth? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3A Required 3B eBook + Hint Print References Compute the price-earnings ratio for each year. (Round your answers to 2 decimal places.) Current Year: 1 Year Ago: Numerator: Price-Earnings Ratio Denominator: I < Required 2 Required 3B > = Price-Earnings Ratio = Price-earnings ratio = 6 Required information Part 4 of 4 16.7 points Skipped Annual cash dividends per share in Current Year Annual cash dividends per share 1 Year Ago For both the current year and one year ago, compute the following ratios: 1. Return on equity. 2. Dividend yield. 3a. Price-earnings ratio on December 31. 0.38 0.19 3b. Assuming Simon's competitor has a price-earnings ratio of 6, which company has higher market expectations for future growth? eBook Hint Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3A Required 3B Assuming Simon's competitor has a price-earnings ratio of 6, which company has higher market expectations for future growth? Print Which company has higher market expectations for future growth? < Required 3A Required 3B > References