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The financial statements for Castile Products, Inc., are given below: Castile Products, Inc. Balance Sheet December 31 Assets Current assets $ 22,000 220,000 310,000 10,000
The financial statements for Castile Products, Inc., are given below: Castile Products, Inc. Balance Sheet December 31 Assets Current assets $ 22,000 220,000 310,000 10,000 Cash Accounts receivable, net Merchandise inventory Prepaid expenses Total current assets Property and equipment, net 562,000 830,000 Total assets $1,392,000 Liabilities and Stockholders' Equity Liabilities: $250,000 Current liabilities Bonds payable, 10% 390,000 640,000 $ 170,000 Total liabilities Stockholders' equity: Common stock, $10 par value Retained earnings 582,000 Total stockholders' equity 752,000 Total liabilities and equity $1,392,000 Castile Products, Inc. Income Statement For the Year Ended December 31 $2,130,000 Sales Cost of goods sold 1,230,000 900,000 640,000 Gross margin Selling and administrative expenses Net operating income Interest expense 260,000 39,000 Net income before taxes Income taxes (30%) 221,000 66,300 $154,700 Net income Account balances at the beginning of the year were: accounts receivable, $220,000; and inventory, $330,000. All sales were on account. Assume that Castile Products, Inc., paid dividends of $2.15 per share during the year. Also assume that the company's common stock had a market price of $64 at the end of the year and there was no change in the number of outstanding shares of common stock during the year. Compute financial ratios as follows: 1. Earnings per share. (Round your answer to 2 decimal places.) Earnings per share 2. Dividend payout ratio. (Round your intermediate calculations to 2 decimal places. Round your final percentage answer to 1 decimal place (ie, 0.1234 should be considered as 12.3%).) Dividend payout ratio 3. Dividend yield ratio. (Round your percentage answer to 1 decimal place (ie, 0.1234 should be considered as 12.3%).) Dividend yield ratio 5. Book value per share. (Round your answer to 2 decimal places.) Book value per share
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