At December 31 Current Yr 1 Yr Ago 2 Yrs Ago Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses plant assets, net Total assets Liabilities and Equity Accounts payable Long-tern notes payable secured by mortgages on plant assets Conmon stock, $10 par value Retained earnings Total liabilities and equity $ 31,100 $ 34,100 $ 38,000 88,200 64,100 53,000 99,978 82,600 53,600 9,969 10,290 4,264 300,753 308,910 231, 136 $530,000 $500,000 $380,000 $129,331 $ 83,655 $ 50,662 98,644 115,000 85,660 162,500 162,500 162,580 139,525138,845 81,178 $530,000 $500,000 $380,000 The company's income statements for the Current Year and 1 Year Ago, follow. es 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 Current Yr $689,000 $420,290 213,590 11,713 8,957 654,550 $ 34,450 1 Yr Ago $ 595,000 $386,750 150,535 13,685 8,925 559,895 $ 35, 105 $ 2.12 $ 2.16 Additional Information about the company follows. $33.00 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 31.00 0.26 0.13 For both the Current Year and 1 Year Ago, compute the following ratios: 1. Return on common stockholders' equity. 2. Price-eamings ratio on December 31. 2a. Assuming Simon's competitor has a price-earnings ratio of 7, which company has higher market expectations for future growth? 3. Dividend yield. 1. Return on common stockholders equity 2. Price-earings ratio on December 31 2a. Assuming Simon's competitor has a price-earnings ratio of 7 which company has higher market expectations for future growth? 3. Dividend yield Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 2a Required 3 Compute the return on common stockholders' equity for each year. Return On Common Stockholders' Equity Choose Numaraton Choose Denominator Return On Common Stockholders' Equity Rotum on common stockholders equity . Current Year: 1 Year Ago 1 Required Required 2 > Required 1 Required 2 Required 2a Required 3 Compute the price-earnings ratio for each year. (Round your answers to 2 decimal places.) Price-Earnings Ratio Choose Numerator: 1 Choose Denominator: Price-Earnings Ratio Price-earnings ratio 1 1 Current Year: 1 Year Ago: 1 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 2a Required 3 Compute the dividend yield for each year. (Round your answers to 2 decimal places.) Dividend Yield Choose Numerator: Choose Denominator Dividend Yield Dividend yield Current Year: = % 1 Year Ago % Required 2a freguired a
