Answer to part 1, 2 and 3 are captured in the image
2(a) The competitor has Price earning ratio of 7 times. Higher PE ratio represents higher growth prospects in the future because investors are willing to pay high market price for a comparative lower value of earning per share. Therefore, Simon has higher market expectation for future growth.
Formulas Used :
Current 1 Yr Ago 2 Yrs Ago At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable secured by mortgages on plant assets Common stock, $10 par value Retained earnings Total liabilities and equity $ 31,600 $ 34,500 $ 37,800 88,900 62,600 51,400 79,691 82,400 51,400 9.875 10.393 3.666 314,934 300, 107 185, 734 $525,000 $490,000 $330,000 $126,803 $ 80,326 $ 42,689 99,687 109,319 73,659...
15. Apple-Space year-end balance sheets follow. At December 31 2017 2016 2015 Assets Cash $ 31,400 $ 34,100 $ 37,300 Accounts receivable, net 89,100 63,200 60,000 Merchandise inventory 26,906 84,700 56,200 Prepaid expenses 11,020 10,084 3,557 Plant assets, net 421,574 297,916 172,943 Total assets $ 580,000 $ 490,000 $ 330,000 Liabilities and Equity Accounts payable $ 144,420 $ 81,982 $ 44,431 Long-term notes payable secured by mortgages on plant assets 110,130 116,081 75,118 Common stock, $10 par value 162,500 162,500...
Apple-Space year-end balance sheets follow. At December 31 2017 2016 2015 Assets Cash $ 31,400 $ 34,100 $ 37,300 Accounts receivable, net 89,100 63,200 60,000 Merchandise inventory 26,906 84,700 56,200 Prepaid expenses 11,020 10,084 3,557 Plant assets, net 421,574 297,916 172,943 Total assets $ 580,000 $ 490,000 $ 330,000 Liabilities and Equity Accounts payable $ 144,420 $ 81,982 $ 44,431 Long-term notes payable secured by mortgages on plant assets 110,130 116,081 75,118 Common stock, $10 par value 162,500 162,500 162,500...
Current 1 Yr Ago 2 Yrs Ago At December 31 Yr Assets Cash 31,600 34,500 37,800 62,600 82,400 10,393 300,107 $525,000 $490 ,000 $330,000 Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net 51,400 51,400 3,666 185,734 88,900 79,691 9,875 314,934 Total assets Liabilities and Equity Accounts payable Long-term notes payable secured by mortgages on plant assets Common stock, $10 par value Retained earnings $126,803 $ 80,326 42,689 109,319 162,500 136,010 137,855 73,659 162,500 51,152 $525,000 $490 ,000 $330,000...
Apple-Space year-end balance sheets follow. At December 31 2017 2016 2015 Assets Cash $ 31,400 $ 34,100 $ 37,300 Accounts receivable, net 89,100 63,200 60,000 Merchandise inventory 26,906 84,700 56,200 Prepaid expenses 11,020 10,084 3,557 Plant assets, net 421,574 297,916 172,943 Total assets $ 580,000 $ 490,000 $ 330,000 Liabilities and Equity Accounts payable $ 144,420 $ 81,982 $ 44,431 Long-term notes payable secured by mortgages on plant assets 110,130 116,081 75,118 Common stock, $10 par value 162,500 162,500 162,500...
Apple-Space year-end balance sheets follow. At December 31 2017 2016 2015 Assets Cash $ 31,400 $ 34,100 $ 37,300 Accounts receivable, net 89,100 63,200 60,000 Merchandise inventory 26,906 84,700 56,200 Prepaid expenses 11,020 10,084 3,557 Plant assets, net 421,574 297,916 172,943 Total assets $ 580,000 $ 490,000 $ 330,000 Liabilities and Equity Accounts payable $ 144,420 $ 81,982 $ 44,431 Long-term notes payable secured by mortgages on plant assets 110,130 116,081 75,118 Common stock, $10 par value 162,500 162,500 162,500...
Hello, I'm stuck on how to solve for this assignment. Simon Company's year-end balance sheets follow. At December 31 Current Yr 1 Yr Ago 2 Yrs Ago $ 31,600 88,900 8,088 10,910 440,502 $580,000 $ 35,000 $ 36,200 62,400 51,400 83,100 57,300 9,9794 ,070 289,521 221,030 $480,000 $370,000 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable secured by mortgages on plant assets Common stock, $10 par...
Simon Company's year-end balance sheets follow. Current Yr 1 Yr Ago 2 Yrs Ago At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable secured by mortgages on plant assets Common stock, $10 par value Retained earnings Total liabilities and equity $ 31,200 $ 34,200 $ 37,700 88,100 64,600 54,500 22,977 82,300 55,600 9,952 8,861 4,070 387,771 245,039 218,130 $540,000 $435,000 $ 370,000 $131,771 $...
Simon Company's year-end balance sheets follow. At December 31 Current Yr 1 Yr Ago 2 Yrs Ago $ 31,600 $ 34,300 $ 37,600 88,300 63,500 60,000 2,570 83,700 51,900 10,950 3,308 431,580 229,856 157, 192 $565,000 $420,000 $ 310,000 8,644 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable secured by mortgages on plant assets Common stock, $10 par value Retained earnings Total liabilities and equity $143,499...
Simon Company’s year-end balance sheets follow. At December 31 Current Yr 1 Yr Ago 2 Yrs Ago Assets Cash $ 31,800 $ 34,300 $ 36,200 Accounts receivable, net 89,700 62,500 53,300 Merchandise inventory 6,783 83,700 56,600 Prepaid expenses 10,986 9,345 3,665 Plant assets, net 450,731 255,155 190,235 Total assets $ 590,000 $ 445,000 $ 340,000 Liabilities and Equity Accounts payable $ 146,910 $ 73,701 $ 43,534 Long-term notes payable secured by mortgages on plant assets 112,029 100,303 76,643 Common stock,...