Simon Company's year-end balance sheets follow. Current Year 1 Year Ago 2 Years Ago 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 Common stock, $10 par value Retained earnings Total liabilities and equity $ 28,797 83,461 103,877 9,180 267,692 $493, 007 $ 33,320 60, 691 79,412 8,925 242,658 $ 425,006 $36, 136 48,659 50,806 3,936 221,863 $ 361,400 $ 122,759 90,832 163,500 115,916 $ 493,007 $ 71,826 98,729 162,500 91,951 $ 425,006 $ 46,751 79,071 163,500 72,078 $361,400 For both the current year and one year ago, compute the following ratios: Exercise 17-11 (Algo) Analyzing profitability LO P3 The company's income statements for the Current Year and 1 Year Ago, follow. For Year Ended December 31 Sales Cost of goods sold Other operating expenses Interest expense Income tax expense Total costs and expenses Net income Earnings per share Current Year $ 640,909 $ 390,954 198,682 10,895 8,332 608,863 $ 32,046 1 Year ARO $ 505,757 $ 328,742 127,957 11,632 7,586 475,917 $ 29,840 $ 1.97 $ 1.84 Required information $ 30.00 28.00 8.26 0.13 Common stock market price, December 31, Current Year Connon stock market pricey December 31, 1 Year Aco Annual cash dividends per share in Current Year Annual cash dividends per share 1 Year ARO For both the current year and one year ago, compute the following ratios: 1. Return on equity 2. Dividend yield. 3a. Pilce-earnings ratio on December 31 3b. Assuming Simon's competitor has a price-earnings ratio of 6 which company has higher market expectations for future growth? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required Required 30 Compute the return on equity for each year, Return On Equity Numerator: Denominator Return On Equity Return on equity Current Year 1 Year Ago: RECHTS Required 2 Required information 1. Return on equity 2. Dividend yield 3a. Price earnings ratio on December 31 3b. Assuming Simon's competitor has a price-earnings ratio of 6, which company has higher market expectations for future growth? Complete this question by entering your answers in the tabs below. Required Required 2 Required 3A Required 30 Compute the dividend yield for each year. (Round your answers to 2 decimal places) Dividend Yield Numerator: Denominator Dividend Yield Dividend yield 1 Current Year: 1 Year Ago Required information 1. Return on equity 2. Dividend yield 30. Price-earnings ratio on December 31 36. Assuming Simon's competitor has a price earnings ratio of 6, which company has higher market expectations for future growth? Complete this question by entering your answers in the tabs below. Requued 1 Required 2 Required 3 Required 30 Compute the price earnings ratio for each year, (Round your answers to 2 decimal places) ces Numerator: Price Earnings Ratio Denominator: 1 - Price-Earnings Ratio Price comings ratio Current Year 1 Year Ago 1 Required information 1. Return on equity 2. Dividend yield 30. Price earnings ratio on December 31, 3b. Assuming Simon's competitor has a price earnings ratio of 6, which company has higher market expectations for future growth Complete this question by entering your answers in the tabs below. Required 1 Required Required 3 Required 36 Assuming Simon's competitor has a price earnings ratio of 6, which company has higher market expectations for future growth? Which company has hicho market exp Lions for future growth? Required JA Required an
