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Simon Company's year - end balance sheets follow. At December 3 1 Current Year 1 Year Ago 2 Years Ago Assets Cash $ 2 5
Simon Company's yearend balance sheets follow.
At December Current Year Year Ago Years Ago
Assets
Cash $ $ $
Accounts receivable, net
Merchandise inventory
Prepaid expenses
Plant assets, net
Total assets $ $ $
Liabilities and Equity
Accounts payable $ $ $
Longterm notes payable
Common stock, $ par value
Retained earnings
Total liabilities and equity $ $ $
The companys income statements for the Current Year and Year Ago, follow.
For Year Ended December Current Year Year Ago
Sales $ $
Cost of goods sold $ $
Other operating expenses
Interest expense
Income tax expense
Total costs and expenses
Net income $ $
Earnings per share $ $
Additional information about the company follows.
Common stock market price, December Current Year $
Common stock market price, December Year Ago
Annual cash dividends per share in Current Year
Annual cash dividends per share Year Ago
For both the current year and one year ago, compute the following ratios:
Return on common stockholders' equity.
Dividend yield.
a Priceearnings ratio on December
b Assuming Simon's competitor has a priceearnings ratio of which company has higher market expectations for future growth?Return on common stockholders' equity.
Dividend yield.
a Priceearnings ratio on December
b Assuming Simon's competitor has a priceearnings ratio of which company has higher market expectations for future growth?
Complete this question by entering your answers in the tabs below.
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Required A
Required B
Compute the return on common stockholders' equity for each year.
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