Exercise 15-10 Financial Ratios for Assessing Market Performance [LO15-6] The financial statements for Castile Products, Inc., are given below: 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, 98 Total liabilities Stockholders' equity: Common stock, $10 par value Retained earnings Total stockholders' equity Total liabilities and stockholders' equity $ 19,000 180,000 370,000 7,000 576,000 890,000 $1,466,000 $ 250,000 310,000 560,000 $ 170,000 736,000 906,000 $1,466,000 Income Statement For the Year Ended December 31 Sales $2,200,000 Cost of goods sold 1,200,000 Gross margin 1,000,000 Selling and administrative expenses 570,000 Net operating income 430,000 Interest expense 27,900 Net income before taxes 402,100 Income taxes (30%) 120,630 Net income $ 281, 470 Account balances at the beginning of the year were: accounts receivable, $230,000; and inventory, $290,000. All sales were on account Assume that Castile Products, Inc., paid dividends of $2.45 per share during the year. Also assume that the company's common stock had a market price of $70 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.) % 1. Earnings per share 2. Dividend payout ratio 3. Dividend yield ratio 4. Price-earnings ratio 5. Book value per share %