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Simon Company's year-end balance sheets follow At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and
Simon Company's year-end balance sheets follow At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable secured by mortgages on plant assets. Common stock, $10 par value Retained earnings Total liabilities and equity Current Yr 1 Yr Ago 2 Yrs Ago 31,200 $34,400 $ 37,700 88,300 63,500 58,700 92,988 10,816 84,900 9,332 59,300 3,989 351,696 247,868 210,311 $575,000 $440,000 $370,000 $140,312 $72,129 $ 50,305 109,181 101,200 80,135 162,500 162,500 162,500 163,007 104,171 77,060 $575,000 $440,000 $370,000 Sales The company's Income statements for the Current Year and 1 Year Ago, follow. For Year Ended December 31 1 Yr Ago $ 523,600 Current Yr $747,500 Cost of goods sold $455,975 $340,340 Other operating expenses 231,725 132,471 Interest expense 12,708 Income tax expense 9,718 Total costs and expenses 710,126 Net income $ 37,374 2.30 12,043 7,854 492,708 30,892 1.90 Earnings per share Additional information about the company follows. ok t nt ences Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 2a Required 3 Compute the return on common stockholders' equity for each year. Return On Common Stockholders' Equity Choose Numerator: Choose Denominator: Net income Preferred dividends Average common stockholders' equity Return On Common Stockholders' Equity Return on common stockholders' equity Current Year: $ 1 Year Ago: $ 37.374 30,892- 0% 0% Required 1 Required 2 > ete this qu as in the es Required 1 Required 2 Required 2a Required 3 Compute the price-earnings ratio for each year. (Round your answers to 2 decimal places.) Current Year: 1 Year Ago: Choose Numerator: Price Earnings Ratio Choose Denominator Price Earnings Ratio Price-earnings ratio 0 0 For both the Current Year and 1 Year Ago, compute the following ratios 1. Return on common stockholders' equity 2. Price-earnings ratio on December 31 2a. Assuming Simon's competitor has a price-earnings ratio of 7, which company has higher market expectations for 3. Dividend yield. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 2a Required 3 Compute the dividend yield for each year. (Round your answers to 2 decimal places.) Current Year: 1 Year Ago Choose Numerator: Dividend Yield Choose Denominator:
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