Calculate profitability measures The following information was available for the year ended December 31, 2016:Sales $  400,000Net income 60,000Average total assets 1,000,000Average total stockholders' equity  600,000Dividends per share 2.40Earnings per share 6.00Market price per share at year-end 96.00Required:Calculate margin, turnover, and ROI for the year ended December 31, 2016.Calculate ROE for the year ended December 31, 2016.Calculate the price/earnings ratio for 2016.Calculate the dividend payout ratio for 2016.Calculate the dividend yield for 2016.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Calculate profitability measures The following information was available for the year ended December 31, 2016:
Sales $  400,000
Net income 60,000
Average total assets 1,000,000
Average total stockholders' equity  600,000
Dividends per share 2.40
Earnings per share 6.00
Market price per share at year-end 96.00
Required:
Calculate margin, turnover, and ROI for the year ended December 31, 2016.
Calculate ROE for the year ended December 31, 2016.
Calculate the price/earnings ratio for 2016.
Calculate the dividend payout ratio for 2016.
Calculate the dividend yield for 2016.

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