Question
Company X Assets Current assets Cash 10,020 Accounts receivable 9,200 Inventory 15,500 Total 34,720 Fixed assets Net plant and equipment 50,164 Total assets 84,884 Liabilities
Company X
Assets
Current assets
Cash 10,020
Accounts receivable 9,200
Inventory 15,500
Total 34,720
Fixed assets
Net plant and equipment 50,164
Total assets 84,884
Liabilities and owners' equity
Current liabilities
Accounts payable 8,400
Notes payable 5,600
Total 14,000
Long-term debt 20,000
Owners' equity
Common stock and paid-in surplus 31,500
Accumulated retained earnings 19,384
Total 50,884
Total liabilities and owners' equity 84,884
Income statement
Sales 62,000
Cost of goods sold -23,200
Gross Margin 38,800
SG&A -18,000
Depreciation -3,600
EBIT 17,200
Interest paid -2,000
Taxable income 15,200
Taxes 30% 4,560
Net income 10,640
Dividends 40% 4,256
Retained earnings 60% 6,384
Shares of stock outstanding 12,000
Market price per share 26
What is the equity multiplier and price to earnings (PE) ratio?
1.703,42.70
1.606,25.23
1.688,32.99
1.635,37.27
1.668,29.32
1.595,27.99
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Technical Analysis The Complete Resource For Financial Market Technicians
Authors: Charles Kirkpatrick, Julie Dahlquist
3rd Edition
0134137043, 978-0134137049
