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Use the following financial statements for Lake of Egypt Marina, Inc. LAKE OF EGYPT MARINA, INC Balance Sheet as of December 31, 2015 and 2014

Use the following financial statements for Lake of Egypt Marina, Inc.

LAKE OF EGYPT MARINA, INC

Balance Sheet as of December 31, 2015 and 2014

(in millions of dollars)

2015

2014

2015

2014

Assets

Liabilities and Equity

Current assets:

Current liabilities:

Cash and marketable securities

$

100

$

112

Accrued wages and taxes

$

80

$

96

Accounts receivable

90

104

Accounts payable

70

88

Inventory

415

208

Notes payable

60

80

Total

$

605

$

424

Total

$

210

$

264

Fixed assets:

Long term debt:

435

248

Gross plant and equipment

$

500

$

448

Stockholders equity:

Less: Depreciation

155

120

Preferred stock (8 million shares)

$

8

$

8

Common stock and paid-in

surplus (72 million shares)

72

72

Net plant and equipment

$

345

$

328

Retained earnings

275

208

Other long-term assets

50

48

Total

$

395

$

376

Total

$

355

$

288

Total assets

$

1,000

$

800

Total liabilities and equity

$

1,000

$

800

LAKE OF EGYPT MARINA, INC.

Income Statement for Years Ending December 31, 2015 and 2014

(in millions of dollars)

2015

2014

Net sales (all credit)

$

700

$

500

Less: Cost of goods sold

392

250

Gross profits

$

308

$

250

Less: Other operating expenses

42

20

Earnings before interest, taxes, depreciation, and

amortization (EBITDA)

266

230

Less: Depreciation

35

25

Earnings before interest and taxes (EBIT)

$

231

$

205

Less: Interest

21

15

Earnings before taxes (EBT)

$

210

$

190

Less: Taxes

63

57

Net income

$

147

$

133

Less: Preferred stock dividends

$

8

$

8

Net income available to common stockholders

$

139

$

125

Less: Common stock dividends

72

72

Addition to retained earnings

$

67

$

53

Per (common) share data:

Earnings per share (EPS)

$

1.931

$

1.736

Dividends per share (DPS)

$

1.000

$

1.000

Book value per share (BVPS)

$

4.819

$

3.889

Market value (price) per share (MVPS)

$

15.450

$

13.250

Calculate the following ratios for Lake of Egypt Marina, Inc. as of year-end 2015. (Use sales when computing the inventory turnover and use common stockholders' equity when computing the equity multiplier. Round your answers to 2 decimal places. Use 365 days a year.)

p.

Cash coverage

times

q.

Profit margin

%

r.

Gross profit margin

%

s.

Operating profit margin

%

t.

Basic earnings power

%

u.

ROA

%

v.

ROE

%

w.

Dividend payout

%

x.

Market-to-book ratio

times

y.

PE ratio

times

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