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Simon Company's year-end balance sheets follow. Current Yr 1 Yr Ago 2 Yrs Ago At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid

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Simon Company's year-end balance sheets follow. Current Yr 1 Yr Ago 2 Yrs 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 secured by mortgages on plant assets Common stock, $10 par value Retained earnings Total liabilities and equity $ 31,300 $ 34,700 $ 36,800 89, 300 62,300 59,300 92,078 82,8 54,600 10,520 9,570 4,222 341, 802 275,630 225,078 $565, $465, $ 38 , $137,871 $ 76,227 $ 51,163 104,096 106,950 85,660 162,500 162,500 162,500 160,533 119,323 80, 677 $565 , $465 , $ 38 , falla 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 Yr $734,500 $448,045 227,695 12,487 9,549 697,776 $ 36,724 1 Yr Ago $ 553,350 $ 359,678 139,998 12,727 8,300 520,703 $ 32,647 $ 2.01 2.26 ees Additional information about the company follows. Common stock market price, December 31, Current Year Common stock market price, December 31, 1 Year Ago Annual cash dividends per share in Current Year Annual cash dividends per share 1 Year Ago $ 30.ee 28.00 0.26 8.13 Complete this question Uy merry yun 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: 1 Choose Denominator: Return On Stockholde Return on stockholder 11 Current Year: 11 1 Year Ago: Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 2a Required 3 Compute the price-earnings ratio for each year. (Round your answers to 2 decimal places.) Price-Earnings Ratio Choose Denominator: Choose Numerator: Price-Earnings Ratio Price-eamings ratio 11 11 Current Year: 11 1 Year Ago: Complete this question by entering your answers in the tabs below. Required 2a Required 3 Required 1 Required 2 Assuming Simon's competitor has a price-earnings ratio of 6, which company has higher market expectation growth? Which company has higher market expectations for future growth?

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