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Lydex Company s financial statements for the last two years are as follows: Lydex Company Comparative Balance Sheet This Year Last Year Assets Current assets:

Lydex Companys financial statements for the last two years are as follows:
Lydex Company
Comparative Balance Sheet
This Year Last Year
Assets
Current assets:
Cash $ 910,000 $ 1,150,000
Marketable securities 0300,000
Accounts receivable, net 2,500,0001,600,000
Inventory 3,550,0002,000,000
Prepaid expenses 250,000190,000
Total current assets 7,210,0005,240,000
Plant and equipment, net 9,420,0009,000,000
Total assets $ 16,630,000 $ 14,240,000
Liabilities and Stockholders' Equity
Liabilities:
Current liabilities $ 3,960,000 $ 2,880,000
Note payable, 10%3,640,0003,040,000
Total liabilities 7,600,0005,920,000
Stockholders' equity:
Common stock, $70 par value 7,000,0007,000,000
Retained earnings 2,030,0001,320,000
Total stockholders' equity 9,030,0008,320,000
Total liabilities and stockholders' equity $ 16,630,000 $ 14,240,000
Lydex Company
Comparative Income Statement and Reconciliation
This Year Last Year
Sales (all on account) $ 15,810,000 $ 13,080,000
Cost of goods sold 12,648,0009,810,000
Gross margin 3,162,0003,270,000
Selling and administrative expenses 1,298,0001,584,000
Net operating income 1,864,0001,686,000
Interest expense 364,000304,000
Net income before taxes 1,500,0001,382,000
Income taxes (30%)450,000414,600
Net income 1,050,000967,400
Common dividends 340,000483,700
Net income retained 710,000483,700
Beginning retained earnings 1,320,000836,300
Ending retained earnings $ 2,030,000 $ 1,320,000
The following financial data and ratios are typical of companies in Lydex Companys industry:
Current ratio 2.3
Acid-test ratio 1.0
Average collection period 40 days
Average sale period 60 days
Return on assets 8.7%
Debt-to-equity ratio 0.7
Times interest earned ratio 5.7
Price-earnings ratio 10
2. To assess the companys stock market performance, compute the following for this year and last year. Assume Lydexs stock price at the end of this year and last year was $84 and $52, respectively.
Note: Round your "Percentage" answers to 1 decimal place and other intermediate and final answers to 2 decimal places.
The earnings per share.
The dividend yield ratio.
The dividend payout ratio.
The price-earnings ratio.
The book value per share of common stock.

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