Can someone assit me with this question?
Tiger Audio declared and paid a cash dividend of $6,325 in the current year. Its comparative nancial statements, prepared at December 31, reported the following summarized information: Current Previous Income Statement Sales Revenue $262,000 $217,000 Cost of Goods Sold 143,650 127,000 Gross Profit 118,350 90,000 Operating Expenses 47,600 40,130 Interest Expense 4,800 4,070 Income before Income Tax Expense 65,950 45,800 Income Tax Expense (30%) 19,785 13,740 Net Income $ 46,165 $ 32,060 Balance Sheet Cash $ 50,840 $ 40,400 Accounts Receivable, Net 23,300 20,000 Inventory 33,000 30,000 Property and Equipment, Net 135,000 125,400 Total Assets $242,140 $215,800 Accounts Payable $ 31,000 $ 29,000 Income Tax Payable 3,600 3,200 Note Payable (long-term) 84,300 100,200 Total Liabilities 118,900 132,400 Common Stock (par $1) 29,800 29,800 Retained Earnings 93,440 53,600 Total Liabilities and stockholders' Equity $2421140 $215:900 Required: 1. 2. 6. Compute the gross profit percentage in the current and previous years. Are the current year results better, or worse, than those for the previous year? Compute the net prot margin for the current and previous years. Are the current year results better, or worse. than those for the previous year? . Compute the earnings per share for the current and previous years. Are the current year results better, or worse, than those for the previous year? . Stockholders' equity totaled $73,000 at the beginning of the previous year. Compute the return on equity ratios for the current and previous years. Are the current year results better, or worse, than those for the previous year? . Net property and equipment totaled $123,000 at the beginning of the previous year. Compute the xed asset turnover ratios for the current and previous years. Are the current year results better, or worse, than those for the previous year? Compute the debt-to-assets ratios for the current and previous years. Is debt providing nancing for a larger or smaller proportion of the company's asset growth? 7. Compute the times interest earned ratios for the current and previous years. Are the current year results better, or worse, than those for the previous year? After Tiger released its current year nancial statements, the company's stock was trading at $28. After the release of its previous year financial statements, the company's stock price was $16 per share. Compute the PE ratios for both years. Does it appear that investors have become more (or less) optimistic about Tiger's future success? Tiger Audio declared and paid a cash dividend of $6,925 in the current year. Its comparative financial statements, prepared at December 31, reported the following summarized information: Required: 1. Complete the two final columns shown beside each item in Tiger Audio's comparative nancial statements. 2-a. Which account increased by the largest dollar amount? 2-b. Which account increased by the largest percentage? Complete the two final columns shown beside each item in Tiger Audio's comparative financial statements. (Decreases should be indicated by a minus sign. Round percentage values to 1 decimal place.) TIGER AUDIO Horizontal Analysis Increase (Decrease) in Current (versus Previous) Current Previous Amount Percentage Income Statement Sales Revenue $ 229,000 $ 187,800 % Cost of Goods Sold 134,650 115,200 % Gross Profit 94,350 72,600 % Operating Expenses 38,800 33,330 % Interest Expense 5,400 4,530 Income before Income Tax Expense 50,150 34,740 % Income Tax Expense (30%) 15,045 10,422 % Net Income $ 35, 105 $ 24,318 % Balance Sheet Cash $ 25,580 $ 28,320 % Accounts Receivable, Net 18,800 16,200 % Inventory 25,300 22,200 % Property and Equipment, Net 141,000 126,000 Total Assets $ 210,680 $ 192,720 % Accounts Payable $ 26,200 $ 24,400 % Income Tax Payable 4,400 3,920 % Note Payable (long-term) 76,900 89,400 % Total Liabilities 107,500 117,720 Common Stock (par $1) 32,000 32,000 % Retained Earnings 71, 180 43,000 % Total Liabilities and Stockholders' Equity 210,680 $ 192,720 %
