Question

The comparative financial statements for Prince Company are below: Year 2 Income statement: Sales revenue Cost of goods sold Gross profit Operating expenses and interest expense Pretax income Income tax Net income Balance sheet: Cash Accounts receivable (net) Inventory Property and equipment (net) Total assets Current liabilities (no interest) Long-term liabilities (10% interest) Common stock (S5 par value, 6,480 shares outstanding)) Retained earnings Total liabilities and stockholders' equity $ 214,000 118,000 96,000 58,400 37,600 10,400 $ 173,000 102,400 70,600 54,200 16,400 11,200 S 8,200 19,200 35,200 40,400 S 112,600103,000 S 19,400 46,200 31,200 $ 6,400 15,200 42,400 48,600 $ 17,200 46,200 32,400 16,800 112,600 Assume that the stock price per share is $40 and that dividends in the amount of $9.50 per share were paid during Year 2. Compute the following ratios: (Round your answers to 2 decimal places. Enter percentage answers rounded to 2 decimal places (i.e. 0.1234 should be entered as 12.34)) Eamings per share Current ratio Quick ratio Cash ratio P/E ratio Dividend yield ratio