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 $ 31,100 $ 34,300 $ 36,700 88,500 63,300 59,300 17,574 84,100 58,000 11,004 9,765 4,376 436,822 273,535 231,624 $585,000 $465,000 $390,000 $148,578 $ 78,585 $ 53,024 111,080 104,811 84,466 162,500 162,500 162,500 162, 842 119, 104 90,010 $585,000 $465,000 $390,000 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 Current Yr $760,500 $463,905 235, 755 12,929 9,887 722,476 $ 38,024 1 Yr Ago $ 553,350 $359, 678 139,998 12,727 8,300 520,703 $ 32,647 Earnings per share $ 2.34 $ 2.01 Additional information about the company follows. Common stock market price, December 31, Current $32.00 Year Common stock market price, December 31, 1 Year Ago 30.00 Annual cash dividends per share in Current Year 0.32 Annual cash dividends per share 1 Year Ago 0.16 For both the Current Year and 1 Year Ago, compute the following ratios: 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 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: 1 Choose Denominator: Return On Common Stockholders' Equity Return on common stockholders' equity % 1 Current Year: 1 1 Year Ago: 1 % 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 Numerator: 1 Choose Denominator: Price-Earnings Ratio Price-earnings ratio 1 Current Year: 1 1 Year Ago: 1 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 2a Required 3 Assuming Simon's competitor has a price-earnings ratio of 7, which company has higher market expectations for future growth? 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 2a Required 3 Compute the dividend yield for each year. (Round your answers to 2 decimal places.) Dividend Yield Choose Numerator: Dividend Yield | Choose Denominator: / = Dividend yield Current Year: 1 % 1 Year Ago 1 %