8 Refer to the following financial statements for Crosby Corporation: 5 oints eBook CROSBY CORPORATION Income Statement For the Year Ended December 31, 20X2 Sales $ 4, 110,000 Cost of goods sold 2.680,000 Gross profit $ 1,430,000 Selling and administrative expense 729,000 Depreciation expense 298 000 Operating income $ 403,000 Interest expense 80200 Earnings before taxes S 322) 300 Taxes 210,000 Barnings after taxes 112300 Preferred stock dividends 10000 Earnings available to common stockholders 102 300 Shares outstanding 150,000 Earnings per share S 0.68 Hint 3 Print Statement of Retained Earnings For the Year Ended December 31, 20X2 Retained earnings, balance January 120X2 Add: Earnings available to common stockholders. 20x2 Deducti Cash dividends declared and paid in 20X2 Retained earnings, balance December 31, 20x2 $554,000 102300 169000 $482300 Year-End 20x2 $ 94,300 552,000 668,000 38,000 $1,352,300 82,400 $ 2,620,000 1,598,000 Comparative Balance Sheets For 20%1 and 20x2 Year-End 20x1 Assets Current assets: Cash $ 123,000 Accounts receivable (net) 524,000 Inventory 661,000 Prepaid expenses 63,500 Total current assets $1,371,500 Investments (long-term securities) 94,900 Gross plant and equipment $ 2,120,000 Leser Accumulated depreciation 1,300,000 Net plant and equipment 820,000 Total assets $2,286,400 Liabilities and stockholders. Equity Current liabilities Accounts payable $ 389,000 Notes payable 509,000 Acerued expenses 72,400 Total current liabilities $ 970,400 Long-term liabilities: Bonds payable, 20x2 172,000 Total liabilities $1,142,400 Stockholders' equity Preferred stock, $100 par value $ 90,000 Common stock, $1 par value 150,000 Capital paid in excess of par 350,000 Retained earnings 554.000 Total stockholders' equity $1,144,000 Total liabilities and stockholders equity $2,286, 400 1,022,000 $2,456,700 $ 589,000 509,000 51,400 $1,149,400 230.000 $1,379, 400 $ 90,000 150,000 350.000 487,300 $1.077,300 $2,456,700 a. Prepare a statement of cash flows for the Crosby Corporation: (Amounts to be deducted should be indicated with parentheses or a minus sign.) CROSBY CORPORATION Statement of Cash Flows For the Year Ended December 31, 20X2 Cash flows from operating activities: Adjustments to determine cashflow from operating activities: 0 Total adjustments Net cash flows from operating activities Cash flows from investing activities: $ $ 0 $ 0 Net cash flows from investing activities Cash flows from financing activities: Net cash flows from financing activities $ o b. Compute the book value per common share for both 20X1 and 20x2 for the Crosby Corporation. (Round your answers to 2 decimals places.) Book value 20X1 20X2 c. If the market value of a share of common stock is 3.1 times book value for 20X2, what is the firm's P/E ratio for 20X27 (Do not round Intermediate calculations. Round your final answer to 2 decimal places.) P/E ratio times