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Simon Companys year-end balance sheets follow. At December 31 Current Yr 1 Yr Ago 2 Yrs Ago Assets Cash $ 31,300 $ 34,200 $ 37,000

Simon Companys year-end balance sheets follow.

At December 31 Current Yr 1 Yr Ago 2 Yrs Ago
Assets
Cash $ 31,300 $ 34,200 $ 37,000
Accounts receivable, net 89,000 62,400 56,100
Merchandise inventory 94,682 82,500 56,000
Prepaid expenses 10,650 10,084 3,376
Plant assets, net

329,368

300,816 157,524
Total assets $ 555,000 $ 490,000 $ 310,000
Liabilities and Equity
Accounts payable $ 136,813 $ 81,154 $ 41,738
Long-term notes payable secured by mortgages on plant assets 101,210 112,700 70,565
Common stock, $10 par value 162,500 162,500 162,500
Retained earnings 154,477 133,646 35,197
Total liabilities and equity $ 555,000 $ 490,000 $ 310,000

The companys income statements for the Current Year and 1 Year Ago, follow.

For Year Ended December 31 Current Yr 1 Yr Ago
Sales $ 721,500 $ 583,100
Cost of goods sold $ 440,115 $ 379,015
Other operating expenses 223,665 147,524
Interest expense 12,266 13,411
Income tax expense 9,380 8,747
Total costs and expenses 685,426 548,697
Net income $ 36,074 $ 34,403
Earnings per share $ 2.22 $ 2.12

Additional information about the company follows.

Common stock market price, December 31, Current Year $ 30.00
Common stock market price, December 31, 1 Year Ago 28.00
Annual cash dividends per share in Current Year 0.34
Annual cash dividends per share 1 Year Ago 0.17

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.

Compute the return on common stockholders' equity for each year.

Return On Common Stockholders Equity
Choose Numerator: / Choose Denominator: = Return On Common Stockholders Equity
Net income Preferred dividends / Average common stockholders equity = Return on common stockholders equity
Current Year: $36,074 / = 0 %
1 Year Ago: $34,403 / = 0 %

Compute the price-earnings ratio for each year. (Round your answers to 2 decimal places.)

Price-Earnings Ratio
Choose Numerator: / Choose Denominator: = Price-Earnings Ratio
Market price per common share / Earnings per share = Price-earnings ratio
Current Year: / = 0
1 Year Ago: / = 0

PLEASE ASSIST, THIS IS MY SECOND TIME ASKING FOR HELP WITH THIS PROBLEM.

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