Calculate the price per share of common equity as of 12/31/2019.

Price per share should be $23.38

Value of common equity should be $584.50

Income Statement for the Year Ending December 31, 2019 (Millions of Dollars) 2019 Net Sales 900.00 Costs (except depreciation) $ 774.00 Depreciation $ 31.50 Total operating costs $ 805.50 Earning before int. & tax 94.50 Less interest 8.90 Earning before taxes $ 85.60 Taxes (21%) $ 17.98 Net income before pref. div. $ 67.62 Common dividends $ 41.23 Addition to retained earnings $ 26.39 25 Number of shares (in millions) Dividends per share $ Tax Rate 1.65 21% 2019 116.93 45.00 17.40 Balance Sheet for December 31, 2019 (Millions of Dollars) 2019 Assets Liabilities and Equity Cash $ 41.60 Accounts Payable $ Short-term investments $ 3.60 Accruals $ Accounts receivable $ 280.00 Notes Payable $ Inventories $ 310.00 Total current liabilities $ Total current assets $ 635.20 Long-term bonds $ Net plant and equipment $ 315.00 Total liabilities $ Total Assets $ 950.20 Commn Stock $ Retained earnings $ Common equitys Total liabilities and equity $ 179.33 190.00 369.33 444.60 136.27 580.87 950.20 Inputs Actual 12/31/2019 0% Projected 12/31/20 Projected 12/31/21 8% Projected 12/31/22 5% Projected 12/31/23 10% 5% 86% 86% 86% 86% 86% 10% 10% 10% 5% 10% 5% 31% 10% 5% 5% 5% 31% 31% 31% 31% Sales Growth Rate Costs/Sales Depreciation/(Net PPE) Cash/Sales (Acct. Rec.)/Sales Inventories/Sales (Net PPE)/Sales (Acct. Pay.)/Sales Accruals/Sales Tax rate WACC 34% 34% 34% 34% 34% 35% 35% 35% 13% 35% 13% 13% 13% 35% 13% 5% 5% 5% 5% 5% 21% 21% 21% 10.0% 21% 10.0% 21% 10.0% 10.0% 10.0% Value of operations + Value of short-term investments Total value of company - Total value of all debt Value of common equity Divided by number of shares Price per share