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Simon Company's year$-$end balance sheets follow.

At December $31$ Current Year $1$ Year Ago $2$ Years Ago

Assets

Cash $ $35,267$ $ $41,223$ $ $44,694$

Accounts receivable, net $105,31173,59859,007$

Merchandise inventory $127,21694,36664,106$

Prepaid expenses $11,24210,7124,723$

Plant assets, net $324,742300,599270,070$

Total assets $ $603,778$ $ $520,498$ $ $442,600$

Liabilities and Equity

Accounts payable $ $153,348$ $ $87,964$ $ $56,671$

Long$-$term notes payable $113,510118,51797,815$

Common stock, $$10$ par value $162,500162,500163,500$

Retained earnings $174,420151,517124,614$

Total liabilities and equity $ $603,778$ $ $520,498$ $ $442,600$

For both the current year and one year ago, compute the following ratios:

The company$$s income statements for the Current Year and $1$ Year Ago, follow.

For Year Ended December $31$ Current Year $1$ Year Ago

Sales $ $784,911$ $ $619,393$

Cost of goods sold $ $478,796$ $ $402,605$

Other operating expenses $243,322156,706$

Interest expense $13,34314,246$

Income tax expense $10,2049,291$

Total costs and expenses $745,665582,848$

Net income $ $39,246$ $ $36,545$

Earnings per share $ $2\mathrm{.}42$ $ $2\mathrm{.}25$

Additional information about the company follows.

Common stock market price, December $31,$ Current Year $ $31\mathrm{.}00$

Common stock market price, December $31,1$ Year Ago $29\mathrm{.}00$

Annual cash dividends per share in Current Year $0\mathrm{.}24$

Annual cash dividends per share $1$ Year Ago $0\mathrm{.}12$

For both the current year and one year ago, compute the following ratios:

$1.$ Return on equity.

$2.$ Dividend yield.

$3$a$.$ Price$-$earnings ratio on December $31.$

$3$b$.$ Assuming Simon's competitor has a price$-$earnings ratio of $7,$ which company has higher market expectations for future growth?