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Problem 3-29 Market Value Ratios [LO2] Some recent financial statements for Smolira Golf Corp. follow. SMOLIRA GOLF CORP. 2014 and 2015 Balance Sheets Assets Liabilities

Problem 3-29 Market Value Ratios [LO2]

Some recent financial statements for Smolira Golf Corp. follow.

SMOLIRA GOLF CORP. 2014 and 2015 Balance Sheets
Assets Liabilities and Owners Equity
2014 2015 2014 2015
Current assets Current liabilities
Cash $ 23,086 $ 25,500 Accounts payable $ 24,584 $ 28,500
Accounts receivable 13,848 16,600 Notes payable 15,000 12,200
Inventory 27,362 28,500 Other 12,971 18,300
Total $ 64,296 $ 70,600 Total $ 52,555 $ 59,000
Long-term debt $ 55,000 $ 61,000
Owners equity
Common stock and paid-in surplus $ 52,000 $ 52,000
Accumulated retained earnings 243,436 263,000
Fixed assets
Net plant and equipment $ 338,695 $ 364,400 Total $ 295,436 $ 315,000
Total assets $ 402,991 $ 435,000 Total liabilities and owners equity $ 402,991 $ 435,000

SMOLIRA GOLF CORP. 2015 Income Statement
Sales $ 359,607
Cost of goods sold 235,900
Depreciation 35,400
Earnings before interest and taxes $ 88,307
Interest paid 15,700
Taxable income $ 72,607
Taxes (40%) 29,043
Net income $ 43,564
Dividends $ 24,000
Retained earnings 19,564

Smolira Golf Corp. has 30,000 shares of common stock outstanding, and the market price for a share of stock at the end of 2015 was $47.

What is the price-earnings ratio? (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.)

Price-earnings ratio times

What are the dividends per share? (Round your answer to 2 decimal places, e.g., 32.16.)

Dividends per share

What is the market-to-book ratio at the end of 2015? (Round your answer to 2 decimal places, e.g., 32.16.)

Market-to-book ratio times

If the companys growth rate is 8 percent, what is the PEG ratio? (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.)

PEG ratio times

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