Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Presented here are summarized data from the balance sheets and Income statements of Wiper Inc.. WIPER INC Condensed Balance Sheets December 31, 2020, 2019, 2018

image text in transcribed
image text in transcribed
Presented here are summarized data from the balance sheets and Income statements of Wiper Inc.. WIPER INC Condensed Balance Sheets December 31, 2020, 2019, 2018 (in millions) 2018 $ 823 1, 728 $2,551 Current assets Other assets Total assets Current liabilities Longtern liabilities Stockholders' equity Total liabilities and stockholders' equity 2020 $ 749 2, 422 $3,171 $ 586 1.569 1,016 $3,171 2019 $ 969 1,929 $2,898 $ 839 1,024 1,035 $2,898 $ 732 892 927 $2,551 WIPER INC Selected Income Statement and Other Data For the year Ended December 31, 2020 and 2019 Gin millions) 2020 2019 Income statement datan Sales Operating income Interest expense Bet income Other data Averas mumber of common shares outstanding Total dividends paid $3,059 305 93 218 $2,922 319 74 213 42.2 $59.0 47.6 $ 53.2 Required: Cat 2020 2019 Income statement data Sales Operating income Interest expense Net income Other data Average number of common shares outstanding Total dividends paid $3,059 305 93 218 $2,922 319 74 213 42.2 $ 59,0 47.6 $ 53.2 Required: a. Calculate return on investment, based on net income and average total assets, for 2020 and 2019 b. Calculate return on equity for 2020 and 2019. C. Calculate working capital and the current ratio for each of the past three years d. Calculate earnings per share for 2020 and 2019. e. If Wiper's stock had a price/eamings ratio of 14 at the end of 2020, what was the market price of the stock? 1. Calculate the cash dividend per share for 2020 and the dividend yield based on the market price calculated in parte g. Calculate the dividend payout ratio for 2020 h. Assume that accounts receivable at December 31, 2020, totaled $318 million Calculate the number of days' sales in receivables at that date 1. Calculate Wiper's debt ratio and debt/equity ratio at December 31, 2020 and 2019. 1. Calculate the times interest earned ratio for 2020 and 2019

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting

Authors: Pauline Weetman

8th Edition

129224447X, 9781292244471

More Books

Students also viewed these Accounting questions

Question

Does this value make me feel good about myself?

Answered: 1 week ago