Brooks Sporting Inc. is prepared to report the following 2016 income statement (shown in thousands of dollars). Sales Operating costs including depreciation EBIT Interest EBT Taxes (40%) Net income X Open spreadsheet Prior to reporting this income statement, the company wants to determine its annual dividend. The company has 530000 shares of stock outstanding, and its common stock trades at $47 per share. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. $ $19800 14850 $4950 330 a. The company had a 40% dividend payout ratio in 2015. If Brooks wants to maintain this payout ratio in 2016, what will be its per-share dividend in 2016? Round your answer to the nearest cent. $4620 1848 $2772 % $ b. If the company maintains this 40% payout ratio, what will be the current dividend yield on the company's stock? Round your answer to two decimal places. c. The company reported net income of $2.45 million in 2015. Assume that the number of shares outstanding has remained constant. What was the company's per-share dividend in 2015? Round your answer to the nearest cent.

Brooks Sporting Inc. is prepared to report the following 2016 income statement (shown in thousands of dollars). Sales Operating costs including depreciation EBIT Interest EBT Taxes (40%) Net income X Open spreadsheet Prior to reporting this income statement, the company wants to determine its annual dividend. The company has 530000 shares of stock outstanding, and its common stock trades at $47 per share. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. $ $19800 14850 $4950 330 a. The company had a 40% dividend payout ratio in 2015. If Brooks wants to maintain this payout ratio in 2016, what will be its per-share dividend in 2016? Round your answer to the nearest cent. $4620 1848 $2772 % $ b. If the company maintains this 40% payout ratio, what will be the current dividend yield on the company's stock? Round your answer to two decimal places. c. The company reported net income of $2.45 million in 2015. Assume that the number of shares outstanding has remained constant. What was the company's per-share dividend in 2015? Round your answer to the nearest cent.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Forecast Income Statement and Balance Sheet Following are the income statement and balance sheet for Medtronic PLC. Note: Complete the entire question using the following Excel template: Excel Template. Then enter the answers into the provided spaces below with two decimal places. Medtronic PLC Consolidated Statement of Income $ millions, For Fiscal Year Ended April 26, 2019 Net sales $30,557 Costs and expenses Cost of products sold 9,155 Research and development expense 979 Selling, general, and administrative expense 10,418 Amortization of intangible assets 1,764 Restructuring charges, net 83 Certain litigation charges, net 166 Other operating expense, net 258 Operating profit 7,734 Other nonoperating income, net (157) Interest expense 1,444 Income before income taxes 6,447 Income tax provision 547 Net income 5,900 Net income loss attributable to noncontrolling interests (19) Net income attributable to Medtronic $5,881…
XYZ company has the following info: Company plans to issue $450,000 in dividends, long term debt is $3,300,000, Profit margin is 10%, NI is $200,000, Total assets is $5million, ROA is 2.2%, ROE is 7.4%, DSO is 36 days, number of shares is 3,690,000, Inventory Turnover is 24 times, TAT is 29.62%, Expenses are $1,800,000, capital stock is $1,000,000, In addition to a given data market capitalization of XYZ is $29,889,000 while the debt ratio is 70%, debt to equity ratio is 2.33 and retained earnings are $350,000 - please calculate current liabilities
Baker Industries’ net income is $24000, its interest expense is $6000, and its tax rate is 40%. Its notes payable equals $27000, long-term debt equals $80000, and common equity equals $250000. The firm finances with only debt and common equity, so it has no preferred stock. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. ROE and ROIC Net income $24,000 Interest expense $6,000 Tax rate 40.00% Notes payable $27,000 Long-term debt $80,000 Common equity $250,000 Formulas ROE #N/A Partial Income Statement: EBIT #N/A Interest $6,000.00 EBT #N/A Taxes #N/A Net income $24,000.00 Capital Summary: Notes payable $27,000.00 Long-term debt $80,000.00 Common equity $250,000.00 Total invested…
1. Please complete a full income statement from the data
Threads Limited manufactures nuts and bolts, which are sold to industrial users. The abbreviated financial statements for 2014 and 2015 are as follows: Dividends were paid on ordinary shares of £70,000 and £72,000 in respect of 2014 and 2015 respectively. Required: (a) Calculate the following financial ratios for both 2014 and 2015 (using year-end figures for statement of financial position items): 1 return on capital employed 2 operating profit margin 3 gross profit margin 4 current ratio 5 acid test ratio 6 settlement period for trade receivables 7 settlement period for trade payables 8 inventories turnover period. (b) Comment on the performance of Threads Limited from the viewpoint of a business considering supplying a substantial amount of goods to Threads Limited on usual trade credit terms. please do "b"
Southeast Systems has the following balance sheet and the income statement. The company had 10 million shares of common stock outstanding and its market price of the common stock was $78 at the end of 2014. Make sure the unit is in million dollars. (unit: $ in millions) Southeast Systems Balance Sheets 2013 2014 2013 2014 Cash $50 $100 Accounts payable $450 $500 Accounts receivable 600 700 Notes payable 300 400 Inventory 500 550 Long-term debt 650 650 Net fixed assets 1,000 1,000 Common equity 300 300 Retained earnings 450 500 Total Assets $2,150 $2,350 Total Liabilities & Owner’s Equity $2,150 $2,350 Income Statement 2014 Sales $2,370 Cost of goods sold 2,070 Depreciation 200 EBIT 100 Interest expenses 20 Taxable income 80 Taxes 28 Net income $52 Dividends $2 What are the values of the earning…
Baker Industries’ net income is $26000, its interest expense is $6000, and its tax rate is 40%. Its notes payable equals $26000, long-term debt equals $70000, and common equity equals $255000. The firm finances with only debt and common equity, so it has no preferred stock. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. What are the firm’s ROE and ROIC? Round your answers to two decimal places. Do not round intermediate calculations. ROE fill in the blank 2% ROIC fill in the blank 3% Please don't provide image based solution thanks
You are provided with the following information taken from Splish Brothers Inc.’s March 31, 2022, balance sheet. Cash $ 12,330 Accounts receivable 20,370 Inventory 36,900 Property, plant, and equipment, net of depreciation 120,500 Accounts payable 22,640 Common stock 153,800 Retained earnings 12,460 Additional information concerning Splish Brothers Inc. is as follows. 1. Gross profit is 26% of sales. 2. Actual and budgeted sales data: March (actual) $47,000 April (budgeted) 73,100 3. Sales are both cash and credit. Cash collections expected in April are: March $18,800 (40% of $47,000) April 43,860 (60% of $73,100) $62,660 4. Half of a month’s purchases are paid for in the month of purchase and half in the following month. Cash disbursements expected in April are: Purchases March $22,640…
Video Excel Online Structured Activity: ROE and ROIC Baker Industries' net income is $25000, its interest expense is $5000, and its tax rate is 40%. Its notes payable equals $27000, long-term debt equals $75000, and common equity equals $240000. The firm finances with only debt and common equity, so it has no preferred stock. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. X Open spreadsheet What are the firm's ROE and ROIC? Round your answers to two decimal places. Do not round intermediate calculations. ROE ROIC Check My Work % % Reset Problem
In 2016, Natural Selection, a nationwide computer dating service, had $506 million of assets and $203 million of liabilities. Earnings before interest and taxes were $123 million, interest expense was $28 million, the tax rate was 40 percent, principal repayment requirements were $24 million, and annual dividends were 20 cents per share on 21 million shares outstanding. a. Calculate the following for Natural Selection: (Round your answers to 2 decimal places.) Liabilities-to-equity ratio Times-interest-earned ratio Times burden covered b. What percentage decline in earnings before interest and taxes could Natural Selection have sustained before failing to cover: (Round your answers to 1 decimal place.) Interest payment requirements? Principal and interest requirements? % % Principal, interest, and common dividend payments? %
Forecast Income Statement and Balance Sheet Following are the income statement and balance sheet for Medtronic PLC. Note: Complete the entire question using the following Excel template: Excel Template. Then enter the answers into the provided spaces below with two decimal places. Medtronic PLC Consolidated Statement of Income $ millions, For Fiscal Year Ended April 26, 2019 Net sales $30,557 Costs and expenses Cost of products sold 9,155 Research and development expense 979 Selling, general, and administrative expense 10,418 Amortization of intangible assets 1,764 Restructuring charges, net 83 Certain litigation charges, net 166 Other operating expense, net 258 Operating profit 7,734 Other nonoperating income, net (157) Interest expense 1,444 Income before income taxes 6,447 Income tax provision 547 Net income 5,900 Net income loss attributable to noncontrolling interests (19) Net income attributable to Medtronic $5,881…
Baker Industries’ net income is $26000, its interest expense is $5000, and its tax rate is 45%. Its notes payable equals $25000, long-term debt equals $70000, and common equity equals $260000. The firm finances with only debt and common equity, so it has no preferred stock. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. Open spreadsheet What are the firm’s ROE and ROIC? Round your answers to two decimal places. Do not round intermediate calculations.