Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Condensed Balance Sheets December 31, 2020, 2019, 2018 (in millions) 2019 $1.001 1,933 2020 $ 781 2,426 $3,207 $ 599 1. 597 2018 $ 863

image text in transcribed

Condensed Balance Sheets December 31, 2020, 2019, 2018 (in millions) 2019 $1.001 1,933 2020 $ 781 2,426 $3,207 $ 599 1. 597 2018 $ 863 1,732 $2,595 Current assets Other assets Total assets Current liabilities Long-term liabilities Stockholders' equity Total liabilities and stockholders' equity $2,934 928 $3,207 WIPER INC. Selected Income Statement and Other Data For the year Ended December 31, 2020 and 2019 (in millions) 2020 2019 $2.926 323 Income statement data: Sales Operating income Interest expense Net income Other data: Average number of common shares outstanding Total dividends paid $3,863 3e9 97 230 225 42.6 $ 63.3 48.0 $ 53.6 Required: o. Calculate return on investment, based on net income and average total assets, for 2020 and 2019. b. Calculate return on equity for 2020 and 2019. c. Calculate working capital and the current ratio for each of the past three years. d. Calculate eamings per share for 2020 and 2019. e. If Wiper's stock had a pricelearnings ratio of 10 at the end of 2020. what was the market price of the stock? f. Calculate the cash dividend per share for 2020 and the dividend yield based on the market price calculated in parte. g. Calculate the dividend payout ratio for 2020. h. Assume that accounts receivable at December 31, 2020, totaled $322 million. Calculate the number of days' sales in receivables at that date. 1. Calculate Wiper's debt ratio and debt/equity ratio at December 31, 2020 and 2019. J. Calculate the times interest earned ratio for 2020 and 2019

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

College Accounting

Authors: Heintz and Parry

20th Edition

1285892070, 538489669, 9781111790301, 978-1285892078, 9780538489669, 1111790302, 978-0538745192

More Books

Students also viewed these Accounting questions

Question

Discuss Machiavellis importance to the history of psychology.

Answered: 1 week ago