Simon Company's year$-$end balance sheets follow.

At December $31$ Current Year $1$ Year Ago $2$ Years Ago

Assets

Cash $ $31,079$ $ $34,565$ $ $36,744$

Accounts receivable, net $88,32862,95849,487$

Merchandise inventory $108,85682,37953,236$

Prepaid expenses $9,4269,2594,041$

Plant assets, net $273,734251,721231,392$

Total assets $ $511,423$ $ $440,882$ $ $374,900$

Liabilities and Equity

Accounts payable $ $126,071$ $ $75,999$ $ $48,992$

Long$-$term notes payable $99,032101,40385,338$

Common stock, $$10$ par value $163,500163,500162,500$

Retained earnings $122,82099,98078,070$

Total liabilities and equity $ $511,423$ $ $440,882$ $ $374,900$

For both the current year and one year ago, compute the following ratios:

The company$$s income statements for the Current Year and $1$ Year Ago, follow.

For Year Ended December $31$ Current Year $1$ Year Ago

Sales $ $664,850$ $ $524,650$

Cost of goods sold $ $405,559$ $ $341,023$

Other operating expenses $206,104132,736$

Interest expense $11,30212,067$

Income tax expense $8,6437,870$

Total costs and expenses $631,608493,696$

Net income $ $33,242$ $ $30,954$

Earnings per share $ $2\mathrm{.}05$ $ $1\mathrm{.}90$

Additional information about the company follows.

Common stock market price, December $31,$ Current Year $ $33\mathrm{.}00$

Common stock market price, December $31,1$ Year Ago $31\mathrm{.}00$

Annual cash dividends per share in Current Year $0\mathrm{.}36$

Annual cash dividends per share $1$ Year Ago $0\mathrm{.}18$

For both the current year and one year ago, compute the following ratios:

$1.$ Return on equity.

$2.$ Dividend yield.

$3$a$.$ Price$-$earnings ratio on December $31.$

$3$b$.$ Assuming Simon's competitor has a price$-$earnings ratio of $8,$ which company has higher market expectations for future growth?