Question
The following data is available for Donald Company: Credit Sales$1,702 Net Income$112 Total Current Assets$366 Total Current Liabilities$226 Accounts Receivable, current year$160 Accounts Receivable, prior
The following data is available for Donald Company:
Credit Sales$1,702
Net Income$112
Total Current Assets$366
Total Current Liabilities$226
Accounts Receivable, current year$160
Accounts Receivable, prior year$156
Total Stockholders' Equity, current year$550
Total Stockholders' Equity, prior year$500
Retained Earnings, current year$366
Retained Earnings, prior year346
Market price per share$50
Number of Common Shares Outstanding46
Required:
Compute the following ratios:
A) current ratio
B) average collection period in days
C) return on stockholders' equity
D) price-earnings ratio
E) dividend yield
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