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Gueda Corporation's most recent balance sheet and income statement appear below: Dividends on common stock during year 2 totaled $40,000. Dividends on preferred stock totaled

Gueda Corporation's most recent balance sheet and income statement appear below:

Dividends on common stock during year 2 totaled $40,000. Dividends on preferred stock totaled $10,000. The market price of common stock at the end of year 2 was $5.22 per share.

Compute:

a. Gross Margin % = GM/Net sales 41%

b. Earnings per share (of common stock) NI-Dividends / Avg oustanding shares

c. Price-earnings ratio

d. Dividend payout ratio

e. Dividend yield ratio

f. Return on total assests

g. Return on common stockholders' equity

h. Book value per share

Statement of Financial Position
Dec 31, Year 2 and 1
Assets Year 2 Year 1
CA Cash $ 80,000.00 $ 19,000.00
AR $ 160,000.00 $ 140,000.00
Inventory $ 210,000.00 $ 190,000.00
PP Exp $ 50,000.00 $ 60,000.00
TTL CA $ 500,000.00 $ 580,000.00
Plant & Equip $ 1,080,000.00 $ 990,000.00
Total Assets $ 1,580,000.00 $ 1,570,000.00
Liabilities & Stockholders equity
CL: AP $ 120,000.00 $ 140,000.00
Acc Liab $ 90,000.00 $ 90,000.00
Notes payable $ 80,000.00 $ 80,000.00
Ttl Curr Liab $ 290,000.00 $ 310,000.00
Bonds payable $ 280,000.00 $ 300,000.00
Ttl Liabilities $ 570,000.00 $ 610,000.00
Stockholders' equity
Preferred stock $ 200,000.00 $ 200,000.00
Common Stock $ 400,000.00 $ 400,000.00
Add pdin cap comm stock $ 110,000.00 $ 110,000.00
RE $ 300,000.00 $ 250,000.00
Total Stockholders equity $ 1,010,000.00 $ 960,000.00
Total Liab & stockholder equity $ 1,580,000.00 $ 1,570,000.00
Income Statement
Year End Dec 31, Year 2
Sales (all on account) $ 1,310,000.00
cost of good sold $ 770,000.00
Gross margin $ 540,000.00
Selling and admin exp $ 360,000.00
Net Operating Income $ 180,000.00
Interest Expense $ 37,000.00
Net Income before taxes $ 143,000.00
Income taxes (30%) $ 43,000.00
Net Income $ 100,000.00

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