Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Some recent financial statements for Smolira Golf, Inc., follow. SMOLIRA GOLF, INC. Balance Sheets as of December 31, 2018 and 2019 2018 2019 2018 2019

image text in transcribed

image text in transcribed

Some recent financial statements for Smolira Golf, Inc., follow. SMOLIRA GOLF, INC. Balance Sheets as of December 31, 2018 and 2019 2018 2019 2018 2019 Assets Liabilities and Owners' Equity Current assets Current liabilities Cash $ 2,851 $ 2,707 Accounts payable $ 2,213 $ 2,720 Accounts receivable 4,707 5,661 Notes payable 1,810 2,236 Inventory 12,718 13,662 Other 102 119 Total $20,276 $ 22,030 Total $ 4,125 $ 5,075 $ 14,500 $ 17,260 Long-term debt Owners' equity Common stock and paid-in surplus Accumulated retained earnings 44,000 $44,000 $ 39,988 Fixed assets 15,714 Net plant and equipment $58,063 $ 84,293 Total 83,988 $ 59,714 $ Total assets $78,339 $106,323 Total liabilities and owners' equity $78,339 $ 106,323 SMOLIRA GOLF, INC. 2019 Income Statement Sales 189,770 $ Cost of goods sold 127,403 Depreciation 5.213 EBIT $ 57,154 Interest paid 1,310 Taxable income $55.844 Taxes 19.545 Net income $36.299 Dividends 12.025 $ Retained eamings 24,274 Smolira Golf has 10,000 shares of common stock outstanding, and the market price for a share of stock at the end of 2019 was $89. a. What is the price-earnings ratio? (Do not round Intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. What is the price-sales ratio? (Do not round Intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) c. What are the dividends per share? (Do not round Intermediate calculations and round your answer to 2 decimal places, e.g., 32.18.) d. What is the market-to-book ratio at the end of 2019? (Do not round Intermediate calculations and round your answer to 2 decimal places, e.g., 32.18.) times times a. Price-earnings ratio b. Price-sales ratio Dividends per share d. Market-to-book ratio c. times

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Quantitative Finance Its Development Mathematical Foundations And Current Scope

Authors: T. Wake Epps

1st Edition

0470431997, 9780470431993

More Books

Students also viewed these Finance questions