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You have just been hired as a financial analyst for Lydex Company, a manufacturer of safety helmets. Your boss has asked you to perform a

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You have just been hired as a financial analyst for Lydex Company, a manufacturer of safety helmets. Your boss has asked you to perform a compiehensive analysis of the company's financial statements, including comparing Lydex's performance to its major competitors. The company's financial statements for the last two years are as follows To begin your assignment you gather the following financial data and ratios that are typical of companies in Lydex Company's industry. Required: 1. You decide first to assess the company's performance in terms of debt management and profitability Compute the foliowing for both this year and last year: (Round your "Percentage" answers to 1 decimal place and other answers to 2 decimal ploces) a. The times interest earned ratio b. The debt-to-equity ratio. c. The gross margin perceatoge. d. The return on total ossets (Total assets at the beginning of hast year were $13,130,000 ) 0. The retain on equity (Stockholders' equity at the beginning of last year totaled 58,257,550 There has been no change in comnon stock over the last two yoars) I Is the company's financial leveroge positive or negative? 2. You decide next to assess the company's stock market performance. Assume that Lydex's stock price at the end of this year is 5106 per share and that at the end of last year it was $74. For both thils year and last year, compute. (Round yout "Percentage". answers to 1 decimal place and other intermediate and final answers to 2 decimal places.) a. The earmings per share b. The dividend yield ratio c. The dividend payout ratio d. The price-earnings ratio e. The book value per stiate of common stock

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