Required Information [The following information applies to the questions displayed below.] You have just been hired as a financial analyst for Lydex Company, a manufacturer of safety helmets. Your boss has asked you to perform a comprehensive analysis of the company's financial statements, including comparing Lydex's performance to its major competitors. The company's financial statements for the last two years are as follows: Lydex Company Comparative Balance Sheet This Year L ast Year $ 1,020,000 2,940,000 3,660,000 270,000 7,890,000 9,640,000 $ 17,530,000 $ 1,260,000 300,000 2,040,000 2,100,000 210,080 5,910,000 9,110,000 $15,020,000 Assets Current assets: Cash Marketable securities Accounts receivable, net Inventory Prepaid expenses Total current assets Plant and equipment, net Total assets Liabilities and Stockholders' Equity Liabilities: Current liabilities Note payable, 1ex Total liabilities Stockholders' equity: Common stock, $75 par value Retained earnings Total stockholders' equity Total liabilities and stockholders' equity $ 4,070,000 3,700,000 7,770,000 $3,100,000 3,100,000 6,200,000 7,500,000 2,260,000 9,760,000 $ 17,530,000 7,500,000 1,320,000 8 ,820,000 $15,020,000 $ Lydex Company Comparative Income Statement and Reconciliation This Year Sales (all on account) $ 15,928,000 Cost of goods sold 12,736,000 Gross margin 3,184,900 Selling and administrative expenses 1,014,000 Net operating income 2,170,000 Interest expense 370,000 Net income before taxes 1,800,000 Income taxes (30%) 540,000 Net income 1,260,000 Common dividends 320,000 Net income retained 940,000 Beginning retained earnings 1,320,000 Ending retained earnings $ 2,260,000 Last Year 14,180,000 10,635,000 3,545,999 1,628,000 1,917,000 310,000 1,607,000 482,100 1,124,900 562,450 562,450 757,550 1,320,000 $ To begin your assignment you gather the following financial data and ratios that are typical of companies in Lydex Company's Industry: Current ratio Acid-test ratio Average collection period Average sale period Return on assets Debt-to-equity ratio Times interest earned ratio Price-earnings ratio 2.3 1.1 32 days 60 days 9.9% 0.7 2 You decide next to assess the company's stock market performance. Assume that Lydex's stock price at the end of this year is $106 per share and that at the end of last year it was $74. For both this year and last year, compute: (Round your "Percentage" answers to 1 decimal place and other intermediate and final answers to 2 decimal places.) a. The earnings per share. b. The dividend yield ratio c. The dividend payout ratio. d. The price-earnings ratio. e. The book value per share of common stock. a. The earnings per share b. The dividend yield ratio c. The dividend payout ratio d. The price-earnings ratio e. The book value per share of common stock