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 $ 31,500 $ 34,900 $ 36,100 88,700 64,600 57,800 111,529 83,000 59,500 11, 240 8,952 3,485 337,031 243,548 163, 115 $580,000 $435,000 $ 320,000 $147,308 $ 73,515 $ 41,395 105,769 97,048 71,427 162,500 162,500 162,500 164,423 101,937 44,678 $580,000 $435,000 $ 320,000 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 $754,000 $459,940 233,740 12,818 9,802 716,300 $ 37,700 $ 2.32 1 Yr Ago $ 517,650 $336,473 130,965 11,906 7,765 487,109 $ 30,541 $ 1.88 Connon stock market price, December 31, Current Year Connon stock market price, December 31, 1 Year ago Annual cash dividends per share in Current Year Annual cash dividends per share 1 Year Aco $ 33.00 31.00 0.22 0.11 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 20. Assuming Simon's competitor has a price earnings ratio of 7 which company has higher market expectations for future growth? 3. Dividend yield 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: Return On Common Stockholders' Equity Return on common stockholders equity 0 09 Current Year 1 Year Ago Required 2 > Connon 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 $ 33.00 31.00 0.22 0.11 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. 20. Assuming Simon's competitor has a price earnings ratio of 7, which company has higher market expectations for future growt 3. Dividend yield ces Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 20 Required 3 Compute the price earnings ratio for each year. (Round your answers to 2 decimal places.) Price:Earnings Ratio Choose Denominator: Choone Numerator Price Earnings Ratio Price earnings ratio 0 Current Year: 1 Year Ago: 0 Annual cash dividends per share 1 Year Ago 0.11 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 20. Assuming Simon's competitor has a price earnings ratio of 7, which company has higher market expectations for future growth? 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.) Dividend Yield Choose Numerator Choose Denominator Dividend Yield Dividend yield 0 % 0 % Current Year: 1 Year Ago
