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The financial statements for Castile Products, Inc., are given below. Castile Products, Inc. Balance Sheet Assets Current assets: Cash S 20,000 210,000 360,000 7,000 Merchandise
The financial statements for Castile Products, Inc., are given below. Castile Products, Inc. Balance Sheet Assets Current assets: Cash S 20,000 210,000 360,000 7,000 Merchandise inventory Prepaid expenses Total current assets Property and equipment, net 597,000 820,000 Total assets S1,417,000 Liabilities and Stockholders' Equity Current liabilities Bonds payable, 8% S 220,000 330,000 550,000 S 160,000 Total liabilities Stockholders equity: Common stock, 510 par value Retained earnings 707,000 887,000 S1,417,000 Total stockholders' equity Total liabilities and equity Castile Products, Inc. Income Statement For the Year Ended December 31 Sales Cost of goods sold $2,120,000 1,230,000 Gross margin Selling and administrative expenses 890,000 650,000 Net operating income Interest expense 240,000 26,400 Net income before taxes Income taxes (30%) 213,600 84,080 Net income S 149,520 Account balances at the beginning of the year were: accounts receivable, 150,000; and inventory, 5290,000. All sales were on account. Assume that Castile Products, Inc., paid dividends of $3.55 per share during the year. Also assume that the company's common stock had a market price of 554 at the end of the year and there was no change in the number of outstanding shares of common stock during the year Required Compute financial ratios as follows: 1. Earnings per share. (Round your answer to 2 decimal places.) s per share Required: Compute financial ratios as follows: 1. Earnings per share. (Round your answer to 2 decimal places.) 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% payout ratio 9% 3. Dividend yield ratio. (Round your percentage answer to 1 decimal place (i.e., 0.1234 should be considered as 12.3%).) yield ratio 4. Price-eamings ratio. (Round your intermediate calculations to 2 decimal places and final answer to 1 decimal place.) ratio 5. Book value per share. (Round your answer to 2 decimal places.) Book value per share
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