Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The financial statements for Castile Products, Incorporated, are given below: Castile Products, Incorporated Balance Sheet December 3 1 Assets Current assets: Cash $ 2 3
The financial statements for Castile Products, Incorporated, are given below:
Castile Products, Incorporated
Balance Sheet
December
Assets
Current assets:
Cash $
Accounts receivable, net
Merchandise inventory
Prepaid expenses
Total current assets
Property and equipment, net
Total assets $
Liabilities and Stockholders' Equity
Liabilities:
Current liabilities $
Bonds payable,
Total liabilities
Stockholders equity:
Common stock, $ per value $
Retained earnings
Total stockholders equity
Total liabilities and stockholders equity $
Castile Products, Incorporated
Income Statement
For the Year Ended December
Sales $
Cost of goods sold
Gross margin
Selling and administrative expenses
Net operating income
Interest expense
Net income before taxes
Income taxes
Net income $
Account balances at the beginning of the year were: accounts receivable, $; and inventory, $ All sales were on account.
Assume that Castile Products, Incorporated, paid dividends of $ per share during the year. Also assume that the companys common stock had a market price of $ 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:
Earnings per share.
Note: Round your answer to decimal places.
Dividend payout ratio.
Note: Round your intermediate calculations to decimal places. Round your percentage final answer to decimal places.
Dividend yield ratio.
Note: Round your percentage answer to decimal places.
Priceearnings ratio.
Note: Round your intermediate calculations and final answer to decimal places.
Book value per share.
Note: Round your answer to decimal places.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started