Using the information from S12-8, a market price of $25 per share, and 100,000 shares of common stock outstanding, compute the following for 2010:

1. Earnings per share

2. Price/earnings ratio

12-8

The 2010 financial statements for Country Cousin Stores show total assets of \($490,000,\) total liabilities of \($290,000,\) net sales of \($1,800,000,\) net income of \($450,000,\) income from operations of \($520,000,\) cost of goods sold of \($1,080,000,\) preferred dividends of \($225,000,\) and interest expense of \($20,000.\) Total assets and total liabilities for 2009 were \($430,000\) and \($270,000,\) respectively. Preferred equity for both years is \($35,000.\) Compute the following ratios for 2010:

1. Return on sales

2. Return on assets

3. Return on common equity

4. Times-interest-earned ratio

5. Debt ratio