WIPER INC. Condensed Balance Sheets December 31, 2020, 2019, 2018 (in millions) 2020 Current assets $ 759 Other assets 2,423 Total assets $3,182 Current liabilities $ 587 Long-term liabilities 1,578 Stockholders' equity 1,017 Total liabilities and stockholders' equity $3,182 2019 $ 971 1,930 $2,901 $ 840 1,025 1,036 $2,901 2018 $ 833 1,729 $2,562 $ 733 901 928 $2,562 2019 WIPER INC. Selected Income Statement and Other Data For the year Ended December 31, 2020 and 2019 (in millions) 2020 Income statement data: Sales $3,060 Operating income 306 Interest expense 94 Net income 221 Other data: Average number of common shares outstanding 42.3 Total dividends paid $ 60.0 $2,923 320 75 216 47.7 $ 53.3 Required: a. Calculate return on investment, based on net income and average total assets, for 2020 and 2019. b. Calculate return on equity for 2020 and 2019. c. Calculate working capital and the current ratio for each of the past three years. d. Calculate earnings per share for 2020 and 2019. e. If Wiper's stock had a pricelearnings ratio of 15 at the end of 2020, what was the market price of the stock? f. Calculate the cash dividend per share for 2020 and the dividend yield based on the market price calculated in parte. g. Calculate the dividend payout ratio for 2020. h. Assume that accounts receivable at December 31, 2020, totaled $319 million. Calculate the number of days' sales in receivables at that date. i. Calculate Wiper's debt ratio and debt/equity ratio at December 31, 2020 and 2019. j. Calculate the times interest earned ratio for 2020 and 2019. Req A and B ReqC Reg D Req E to H ReqI Req) a. Calculate return on investment, based on net income and average total assets, for 2020 and 2019. (Do not round intermediate calculations. Round your answers to 1 decimal place.) b. Calculate return on equity for 2020 and 2019. (Round your answers to 1 decimal place.) 2020 2019 % % a. Return on investment b. Return on equity % % Req A and B Reqc ReqD Req E to H Req I Req] Calculate working capital and the current ratio for each of the past three years. (Enter your answers in millions (i.e., 5,000,000 should be entered as 5). Round "Current ratio" to 1 decimal place.) 2020 2019 2018 Working capital Current ratio Req A and B Reqc ReqD Req E to H Req I Req] Calculate working capital and the current ratio for each of the past three years. (Enter your answers in millions (i.e., 5,000,000 should be entered as 5). Round "Current ratio" to 1 decimal place.) 2020 2019 2018 Working capital Current ratio Req A and B Reqc Req D Reg E to H ReqI Req] Calculate earnings per share for 2020 and 2019. (Round your answers to 2 decimal places.) 2020 2019 Earnings per share Req A and B Reqc Req D Req E to H ReqI Reqj e. If Wiper's stock had a price/earnings ratio of 15 at the end of 2020, what was the market price of the stock? (Do not round intermediate calculations. Round your answer to 2 decimal places.) f. Calculate the cash dividend per share for 2020 and the dividend yield based on the market price calculated in part e. (Do not round intermediate calculations. Round your answers to 2 decimal places.) g. Calculate the dividend payout ratio for 2020. (Do not round intermediate calculations.) h. Assume that accounts receivable at December 31, 2020, totaled $319 million. Calculate the number of days' sales in receivables at that date. (Use 365 days a year. Do not round intermediate calculations.) Show less e. Market price f. Cash dividends per share Dividend yield 9. Dividend payout ratio h. Number of days' sales % % days Req A and B ReqC Req D Reg E to H ReqI Req] Calculate Wiper's debt ratio and debt/equity ratio at December 31, 2020 and 2019. (Round "Debt ratio" to 1 decimal place and "Debt/equity ratio" to the nearest whole percent.) 2020 2019 Debt ratio Debt/equity ratio % % % % Req A and B Reqc Req D Req E to H ReqI Req Calculate the times interest earned ratio for 2020 and 2019. (Round your answers to 1 decimal place.) 2020 2019 Times interest earned times times
