Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Use the following information to answer this question. Windswept, Inc. 2010 Income Statement ($ in millions) Net sales $ 10,350 Less: Cost of goods sold
Use the following information to answer this question. |
Windswept, Inc. 2010 Income Statement ($ in millions) | |
Net sales | $ 10,350 |
Less: Cost of goods sold | 8,100 |
Less: Depreciation | 385 |
Earnings before interest and taxes | $ 1,865 |
Less: Interest paid | 106 |
Taxable Income | $ 1,759 |
Less: Taxes | 528 |
Net income | $ 1,231 |
Windswept, Inc. 2009 and 2010 Balance Sheets ($ in millions) | |||||
2009 | 2010 | 2009 | 2010 | ||
Cash | $ 310 | $ 335 | Accounts payable | $ 1,660 | $ 1,977 |
Accounts rec. | 1,170 | 1,070 | Long-term debt | 1,100 | 1,288 |
Inventory | 1,840 | 1,690 | Common stock | $ 3,420 | $ 3,060 |
Total | $ 3,320 | $ 3,095 | Retained earnings | 680 | 930 |
Net fixed assets | 3,540 | 4,160 | |||
Total assets | $ 6,860 | $ 7,255 | Total liab. & equity | $ 6,860 | $ 7,255 |
Windswept, Inc. has 580 million shares of stock outstanding. Its price-earnings ratio for 2010 is 16. What is the market price per share of stock? |
$51.45
$21.22
$18.76
$25.66
$33.96
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