Smith and Jones, Inc. is primarily engaged in the worldwide production, processing, distribution, and marketing of food products. The following information is from its 2009 annual report:

Required
a. Based on these data, compute the following for 2009 and 2008:
1. Percentage of earnings retained
2. Price/earnings ratio
3. Dividend payout
4. Dividend yield
5. Book value per share
b. Discuss your findings from the viewpoint of a potentialinvestor.

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2009 2008 Eamings per share Cash dividends per common share Market price per common share Common shares outstanding Total assets Total liabilities Nonredeemable preferred stock Preferred dividends Net income 1.08 0.80 12.94 25,380,000 $1264,086,000 823,758,000 $ 16,600,000 4,567,000 S 32,094,000 1.14 0.76 15.19 25,316,000 $1,173,924,000 742,499,000 S 16,600,000 930,000 S 31,049,000