Problem 16-15 (Algo) Comprehensive Ratio Analysis [LO16-2, LO16-3, LO16-4, LO16-5, LO16-6] [The following information applies to...

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Problem 16-15 (Algo) Comprehensive Ratio Analysis [LO16-2, LO16-3, LO16-4, LO16-5, LO16-6] [The following information applies to the questions displayed below.] Lydex Company's financial statements for the last two years are as follows: Lydex Company Comparative Balance Sheet This Year Last Year Assets Current assets: Cash Marketable securities Accounts receivable, net Inventory Prepaid expenses Total current assets Plant and equipment, net Total assets Liabilities and Stockholders' Equity Liabilities: Current liabilities Note payable, 10% Total liabilities Stockholders' equity: Common stock, $70 par value $ 930,000 0 2,580,000 3,570,000 250,000 7,330,000 9,460,000 $ 16,790,000 $ 1,170,000 300,000 1,680,000 2,200,000 190,000 5,540,000 9,020,000 $ 14,560,000 $ 3,980,000 3,640,000 7,620,000 7,000,000 2,170,000 $ 2,920,000 3,040,000 5,960,000 7,000,000 1,600,000 9,170,000 8,600,000 $ 16,790,000 $ 14,560,000 Retained earnings Total stockholders' equity Total liabilities and stockholders' equity Lydex Company Comparative Income Statement and Reconciliation This Year Sales (all on account) Cost of goods sold Gross margin Selling and administrative expenses Net operating income Interest expense Net income before taxes Income taxes (30%) Net income Common dividends Net income retained Beginning retained earnings Ending retained earnings $ 15,830,000 12,664,000 3,166,000 1,402,000 Last Year $ 13,280,000 9,960,000 3,320,000 1,592,000 1,764,000 1,728,000 364,000 304,000 1,400,000 1,424,000 420,000 427,200 980,000 996,800 410,000 498,400 570,000 498,400 1,101,600 1,600,000 $ 2,170,000 $ 1,600,000 The following financial data and ratios are typical of companies in Lydex Company's industry: Current ratio Acid-test ratio Average collection period 2.3 1.1 40 days Average sale period 60 days Return on assets 8.9% Debt-to-equity ratio 0.7 Times interest earned ratio 5.9 Price-earnings ratio 10 Problem 16-15 Part 2 (Algo) 2. To assess the company's stock market performance, compute the following for this year and last year. Assume Lydex's stock price at the end of this year and last year was $88 and $56, respectively. Note: Round your "Percentage" answers to 1 decimal place and other intermediate and final answers to 2 decimal places. a. The earnings per share. b. The dividend yield ratio. c. The dividend payout ratio. d. The price-earnings ratio. e. The book value per share of common stock. a. The earnings per share b. The dividend yield ratio c. The dividend payout ratio d. The price-earnings ratio e. The book value per share of common stock This Year % % Last Year % % Problem 16-15 (Algo) Comprehensive Ratio Analysis [LO16-2, LO16-3, LO16-4, LO16-5, LO16-6] [The following information applies to the questions displayed below.] Lydex Company's financial statements for the last two years are as follows: Lydex Company Comparative Balance Sheet This Year Last Year Assets Current assets: Cash Marketable securities Accounts receivable, net Inventory Prepaid expenses Total current assets Plant and equipment, net Total assets Liabilities and Stockholders' Equity Liabilities: Current liabilities Note payable, 10% Total liabilities Stockholders' equity: Common stock, $70 par value $ 930,000 0 2,580,000 3,570,000 250,000 7,330,000 9,460,000 $ 16,790,000 $ 1,170,000 300,000 1,680,000 2,200,000 190,000 5,540,000 9,020,000 $ 14,560,000 $ 3,980,000 3,640,000 7,620,000 7,000,000 2,170,000 $ 2,920,000 3,040,000 5,960,000 7,000,000 1,600,000 9,170,000 8,600,000 $ 16,790,000 $ 14,560,000 Retained earnings Total stockholders' equity Total liabilities and stockholders' equity Lydex Company Comparative Income Statement and Reconciliation This Year Sales (all on account) Cost of goods sold Gross margin Selling and administrative expenses Net operating income Interest expense Net income before taxes Income taxes (30%) Net income Common dividends Net income retained Beginning retained earnings Ending retained earnings $ 15,830,000 12,664,000 3,166,000 1,402,000 Last Year $ 13,280,000 9,960,000 3,320,000 1,592,000 1,764,000 1,728,000 364,000 304,000 1,400,000 1,424,000 420,000 427,200 980,000 996,800 410,000 498,400 570,000 498,400 1,101,600 1,600,000 $ 2,170,000 $ 1,600,000 The following financial data and ratios are typical of companies in Lydex Company's industry: Current ratio Acid-test ratio Average collection period 2.3 1.1 40 days Average sale period 60 days Return on assets 8.9% Debt-to-equity ratio 0.7 Times interest earned ratio 5.9 Price-earnings ratio 10 Problem 16-15 Part 2 (Algo) 2. To assess the company's stock market performance, compute the following for this year and last year. Assume Lydex's stock price at the end of this year and last year was $88 and $56, respectively. Note: Round your "Percentage" answers to 1 decimal place and other intermediate and final answers to 2 decimal places. a. The earnings per share. b. The dividend yield ratio. c. The dividend payout ratio. d. The price-earnings ratio. e. The book value per share of common stock. a. The earnings per share b. The dividend yield ratio c. The dividend payout ratio d. The price-earnings ratio e. The book value per share of common stock This Year % % Last Year % %