Earl Grey Golf Corp. has 25,000 shares of common stock outstanding, and the market price for a share of stock at the end of 2018 was $43. What is the price-earnings ratio? (Round the intermediate calculations to 2 decimal places. Round the final answer to 2 decima places.) Price-earnings ratio What are the dividends per share? (Round the final answer to 2 decimal places. Omit $ sign in your response.) Dividends $ 0.80 per share What is the market-to-book ratio at the end of 2018? (Do not round intermediate calculations. Round the final answer to 2 decimal places.) Market-to-book ratio 24.56 times PEG ratio f the company's growth rate is 9%, what is the PEG ratio? (Round the intermediate calculations to 2 decimal places. Round the final answer to 2 decimal places.) 7.23 times times

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Ee.68.

 

Current assets
Cash
Accounts receivable
Inventory
Total
Fixed assets
Net plant and equipment
Total assets
Assets
Sales
Cost of goods sold
Depreciation
EARL GREY GOLF CORP.
2017 and 2018 Statement of Financial Position
2017
$ 24,046
12,448
25,392
$ 61,886
$324,695
$386,581
Earnings before interest and taxes
Interest paid
Taxable income
Taxes (35%)
Net income
Dividends
2018
$ 24,255
15,235
27,155
$ 66,645
$365,734
EARL GREY GOLF CORP.
2018 Statement of Comprehensive Income
$432,379
$20.000
Current liabilities
Accounts payable
Notes payable
Other
Total
Liabilities and Owners' Equity
2017
Long-term debt
Owners' equity
Common stock and paid-in surplus
Retained earnings
Total
Total liabilities and owners' equity
$366,996
253,122
32,220
$ 81,654
14,300
$ 67,354
23,574
$ 43,780
$ 23,184
12,000
11,571
$ 46,755
$ 80,000
$ 40,000
219,826
$259,826
$386,581
2018
$ 27,420
10,800
15,553
$ 53,773
$ 95,000
$ 40,000
243,606
$283,606
$432,379
Transcribed Image Text:Current assets Cash Accounts receivable Inventory Total Fixed assets Net plant and equipment Total assets Assets Sales Cost of goods sold Depreciation EARL GREY GOLF CORP. 2017 and 2018 Statement of Financial Position 2017 $ 24,046 12,448 25,392 $ 61,886 $324,695 $386,581 Earnings before interest and taxes Interest paid Taxable income Taxes (35%) Net income Dividends 2018 $ 24,255 15,235 27,155 $ 66,645 $365,734 EARL GREY GOLF CORP. 2018 Statement of Comprehensive Income $432,379 $20.000 Current liabilities Accounts payable Notes payable Other Total Liabilities and Owners' Equity 2017 Long-term debt Owners' equity Common stock and paid-in surplus Retained earnings Total Total liabilities and owners' equity $366,996 253,122 32,220 $ 81,654 14,300 $ 67,354 23,574 $ 43,780 $ 23,184 12,000 11,571 $ 46,755 $ 80,000 $ 40,000 219,826 $259,826 $386,581 2018 $ 27,420 10,800 15,553 $ 53,773 $ 95,000 $ 40,000 243,606 $283,606 $432,379
Additions to retained earnings
Earl Grey Golf Corp. has 25,000 shares of common stock outstanding, and the market price for a share of stock at the end of 2018 was
$43.
What is the price-earnings ratio? (Round the intermediate calculations to 2 decimal places. Round the final answer to 2 decimal
places.)
Price-earnings ratio
What are the dividends per share? (Round the final answer to 2 decimal places. Omit $ sign in your response.)
Dividends
Market-to-book ratio
24.56 times
23,780
0.80 per share
What is the market-to-book ratio at the end of 2018? (Do not round intermediate calculations. Round the final answer to 2 decimal
places.)
PEG ratio
7.23 times
If the company's growth rate is 9%, what is the PEG ratio? (Round the intermediate calculations to 2 decimal places. Round the final
answer to 2 decimal places.)
times
Transcribed Image Text:Additions to retained earnings Earl Grey Golf Corp. has 25,000 shares of common stock outstanding, and the market price for a share of stock at the end of 2018 was $43. What is the price-earnings ratio? (Round the intermediate calculations to 2 decimal places. Round the final answer to 2 decimal places.) Price-earnings ratio What are the dividends per share? (Round the final answer to 2 decimal places. Omit $ sign in your response.) Dividends Market-to-book ratio 24.56 times 23,780 0.80 per share What is the market-to-book ratio at the end of 2018? (Do not round intermediate calculations. Round the final answer to 2 decimal places.) PEG ratio 7.23 times If the company's growth rate is 9%, what is the PEG ratio? (Round the intermediate calculations to 2 decimal places. Round the final answer to 2 decimal places.) times
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