ch.15 q.3

Castile Products, Inc. Balance Sheet December 31 Assets Current assets: Cash Accounts receivable, net Merchandise inventory Prepaid expenses Total current assets Property and equipment, net Total assets Liabilities and stockholders' Equity Liabilities: Current liabilities . Bonds payable, 11% Total liabilities Stockholders' equity: Common stock, sie par value Retained earnings Total stockholders' equity Total liabilities and stockholders' equity $ 23, eee 17e, eee 3ee, eee 7,eee see, eee see,eee $1,4ee, eee $ 260, eee 39e, eee 65e,eee $ 14e.eee 610, eee 750, eee $1,4ee, eee Castile Products, Inc. Income Statement For the Year Ended December 31 Sales Cost of goods sold Gross margin Selling and administrative expenses Net operating income Interest expense Net income before taxes Income taxes (30%) Net income $2,22e, eee 1,2ee, eee 1,eze, eee 64e, eee 35e,eee 42.9ee 337,1ee 1e1, 13e $ 235,97 Account balances at the beginning of the year were accounts receivable, $220,000; and Inventory, $330,000. All sales were on account. Assume that Castille Products, Inc., paid dividends of $2.35 per share during the year. Also assume that the company's common stock had a market price of $62 at the end of the year and there was no change in the number of outstanding shares of common stock during the year. Required: Compute financial ratios as follows: 1. Earnings per share. (Round your answer to 2 decimal places.) 2. Dividend payout ratio. (Round your intermediate calculations to 2 decimal places. Round your percentage final answer to 2 decimal places.) 3. Dividend yield ratio. (Round your percentage answer to 2 decimal places.) 4. Price-earnings ratio. (Round your Intermediate calculations and final answer to 2 decimal places. 5. Book value per share. (Round your answer to 2 decimal places.) Gross margin selling and administrative expenses Net operating income Interest expense Net income before taxes Income taxes (30%) Net income 1,e2e, eee 64e, eee 38e, eee 42,9ee 337,1ee 101, 138 $ 235,970 Account balances at the beginning of the year were: accounts receivable, $220,000, and Inventory, $330,000. All sales were on account Assume that Castile Products, Inc., pald dividends of $2.35 per share during the year. Also assume that the company's common stock! had a market price of $62 at the end of the year and there was no change in the number of outstanding shares of common stock during the year. Required: Compute financial ratios as follows: 1. Earnings per share. (Round your answer to 2 decimal places.) 2. Dividend payout ratio. (Round your intermediate calculations to 2 decimal places. Round your percentage final answer to 2 decimal places.) 3. Dividend yield ratlo. (Round your percentage answer to 2 decimal places.) 4. Price-earnings ratio. (Round your Intermediate calculations and final answer to 2 decimal places.) 5. Book value per share. (Round your answer to 2 decimal places.) 1. Earnings per share 2 Dividend payout ratio 3. Dividend yield ratio 4. Price-earnings ratio 5. Book value per share