Question
Dividends on common stock during Year 2 ?totaled $ 1 5 ?thousand. The market price of common stock at the end of Year 2 ?was
Dividends on common stock during Year ?totaled $ ?thousand. The market price of common stock at the end of Year ?was $ ?per share.
Required:
Compute the following for Year :
?
a ?Gross margin percentage. Round your answer to ?decimal place.
b ?Earnings per share. Round your answer to ?decimal places.
c ?Priceearnings ratio. Do not round intermediate calculations. Round your answer to ?decimal place.
d ?Dividend payout ratio. Do not round intermediate calculations. Round your "Percentage" answer to ?decimal place.
e ?Dividend yield ratio. Round your "Percentage" answer to ?decimal places.
f ?Return on total assets. Do not round intermediate calculations. Round your "Percentage" answer to ?decimal places.
g ?Return on equity. Round your "Percentage" answer to ?decimal places.
h ?Book value per share. Round your answer to ?decimal places.
i ?Working capital. Input your answer in thousands of dollars.
j ?Current ratio. Round your answer to ?decimal places.
k ?Acidtest quick ?ratio. Round your answer to ?decimal places.
l ?Accounts receivable turnover. Round your answer to ?decimal places.
m ?Average collection period. Use ?days in a year. Do not round intermediate calculations. Round your answer to ?decimal place.
n ?Inventory turnover. Round your answer to ?decimal places.
o ?Average sale period. Use ?days in a year. Do not round intermediate calculations. Round your answer to ?decimal place.
p ?Times interest earned ratio. Round your answer to ?decimal places.
q ?Debttoequity ratio. Round your answer to ?decimal places.
Balance Sheet December 31, Year 2 and Year 1 (in thousands of dollars) Assets Year 2 Year 1 Current assets: Cash Accounts receivable, net Inventory Prepaid expenses Total current assets Plant and equipment, net Total assets $ 190 300 270 20 780 1,000 $ 1,780 Liabilities and Stockholders' Equity Current liabilities: Accounts payable Accrued liabilities Notes payable, short term Total current liabilities Bonds payable Total liabilities Stockholders' equity: Common stock, $2 par value Additional paid-in capital Retained earnings Total stockholders' equity Total liabilities & stockholders' equity Income Statement For the Year Ended December 31, Year 2 (in thousands of dollars) Sales (all on account) Cost of goods sold Gross margin Selling and administrative expense Net operating income Interest expense Net income before taxes Income taxes (30%) Net income $ 1,340 840 500 415 85 20 65 20 $ 45 $ 270 320 240 20 850 1,060 $ 1,910 $ 240 $ 270 50 50 40 40 330 360 230 360 560 720 200 200 330 330 690 660 1,220 1,190 $ 1,780 $ 1,910
Step by Step Solution
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Step: 1
a Gross margin percentage Gross margin Sales x 100 500 1340 x 100 373 round to 1 decimal place b Ear...Get Instant Access to Expert-Tailored Solutions
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