The financial statements for Castile Products Inc. are as follows: CASTILE PRODUCTS INC. Balance Sheet December 31 Assets Current assets: Cash $ 6,500 Accounts receivable, net 35,000 Merchandise inventory 70,000 Prepaid expenses 3,500 Total current assets 115,000 Property and equipment, net 185,000 Total assets $ 300,000 Liabilities and Shareholders Equity Liabilities: Current liabilities $ 50,000 Bonds payable, 10% 80,000 Total liabilities 130,000 Shareholders equity: Common shares, no par (6,000 @ $5) $ 30,000 Retained earnings 140,000 Total shareholders equity 170,000 Total liabilities and shareholders equity $ 300,000 CASTILE PRODUCTS INC. Income Statement For the Year Ended December 31 Sales $ 420,000 Less: Cost of goods sold 292,500 Gross margin 127,500 Less: Operating expenses 89,500 Net operating income 38,000 Interest expense 8,000 Net income before taxes 30,000 Income taxes (30%) 9,000 Net income $ 21,000 Account balances at the beginning of the year were as follows: accounts receivable, $25,000; inventory, $60,000. All sales were on account. Assume that Castile Products Inc. paid dividends of $2.10 per share during the year. Also, assume that the companys common shares had a market price of $42 each at the end of the year and there was no change in the number of outstanding common shares during the year. Required:

Compute financial ratios as follows:

1. Earnings per share. (Round your answer to 2 decimal places.)

2. Dividend payout ratio. (Round your intermediate calculations to 2 decimal places. Round your percentage answer to a nearest whole number.)

3. Dividend yield ratio. (Round your percentage answer to nearest whole number.)

4. Priceearnings ratio. (Round your intermediate calculations to 2 decimal places. Round your answer to nearest whole number.)