Paul Sabin organized Sabin Electronics 10 years ago to produce and sell several electronic devices on which he had secured y has been fairly profitable, It is now e $500,000 long-term loan from Gulfport State Bank, $100,000 of which will be used to bolster the Cash account and $400,000 of which will be used to modernize equipment. The company's financial statements for the two most recent years follow $70,000 18,000 380,009 480,006 950,000 800,000 430,000 Bonds payable, 12% 750,000 750,000 548,000 72,880 84.000 72,800 196,000 110,800 y Introduced several new product lines and raised the selling prices on a number of old t margin. The company also hired a new sales manager, who has expanded sales into several new 1, You per s There has been no change in c n stock over the last two years s ratio is 12 lepcedilings rao. (Assume that the industry norm for the price-earnings ratio Is 12) e. The book value per share of common stock 2. You decide next to assess the company's profitability Compute the following for both this year and last year a. The gross margin percentage b. The net profit margin percentage. c.The return on total assets. (Total assets at the beginning of last year were $2,420,000.) d. The return on equity (Stockholders' equity at the beginning of last year was $1.420,000) e. is the company's financial leverage positive or negative? e this question by entering your answers in the tabs below. You decide first to assess the company's stock market performance. For both this year and last year, compute a. The earnings per share. There has been no change in common stock over the last two years. (Round your answers to 2 b. The dividend yield ratio. The company's stock is currently selling for $40 per share; last year it sold for $36 per share. (Do not round inter c. The dividend payout ratio. (Do not round i d. The pric calculations. Round your answers to 2 decimal places ate calculations. Round your percentage answers to 1 decimal place.) mediate calculations. Round your percentage answers to 1 decimal place.) nings ratio. (Assume that the industry norm for the price-earnings ratio is 12.) (Do not round intermediate The book value per share of commion stock Round or answers to 2 dedimal piac Show lessA nd yield ratio your percentage answers to 1 decimal place.) c. The return on total assets. (Total assets at the beginning of last year were $2,420,000.) (Round your percentage to 1