Question
You are given the following information for Smashville, Inc. Cost of goods sold: $ 234,000 Investment income: $ 2,600 Net sales: $ 397,000 Operating expense:
You are given the following information for Smashville, Inc.
Cost of goods sold: $ 234,000
Investment income: $ 2,600
Net sales: $ 397,000
Operating expense: $ 92,000
Interest expense: $ 7,400
Dividends: $ 12,000
Tax rate: 40 %
Current liabilities: $ 20,000
Cash: $ 21,000
Long-term debt: $ 22,000
Other assets: $ 42,000
Fixed assets: $ 131,000
Other liabilities: $ 5,000
Investments: $ 46,000
Operating assets: $ 47,000
During the year, Smashville, Inc., had 17,000 shares of stock outstanding and depreciation expense of $18,000. At the end of the year, Smashville stock sold for $55 per share. Calculate the price-book ratio, price-earnings ratio, and the price-cash flow ratio. (Do not round intermediate calculations. Round your answers to 2 decimal places.)
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