Question
You are given the following information for Smashville, Inc. Cost of goods sold:$119,000 Investment income:$2,300 Net sales:$232,000 Operating expense:$40,000 Interest expense:$7,400 Dividends:$11,000 Tax rate:21% Current
You are given the following information for Smashville, Inc.
Cost of goods sold:$119,000
Investment income:$2,300
Net sales:$232,000
Operating expense:$40,000
Interest expense:$7,400
Dividends:$11,000
Tax rate:21%
Current liabilities:$18,000
Cash:$21,000
Long-term debt:$25,000
Other assets:$39,000
Fixed assets:$126,000
Other liabilities:$5,000
Investments:$43,000
Operating assets:$45,000
During the year, Smashville, Inc., had 17,000 shares of stock outstanding and depreciation expense of $15,000. At the end of the year, Smashville stock sold for $52 per share. Calculate the price-book ratio, price-earnings ratio, and price-cash flow ratio.(Do not round intermediate calculations. Round your answers to 2 decimal places.)
Price-book ratio:
Price-earnings ratio:
Price-cash flow ratio:
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
Modern Advanced Accounting in Canada
Authors: Hilton Murray, Herauf Darrell
8th edition
1259087557, 1057317623, 978-1259087554
