Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Question
The comparative statements of Coronado Company are presented here.
|
Coronado Company
Income Statements For the Years Ended December 31 |
||||||
|---|---|---|---|---|---|---|
|
2022
|
2021
|
|||||
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Net sales
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$1,812,100 | $1,745,000 | ||||
|
Cost of goods sold
|
1,008,300 | 986,000 | ||||
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Gross profit
|
803,800 | 759,000 | ||||
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Selling and administrative expenses
|
511,000 | 475,400 | ||||
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Income from operations
|
292,800 | 283,600 | ||||
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Other expenses and losses
|
||||||
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Interest expense
|
17,300 | 13,500 | ||||
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Income before income taxes
|
275,500 | 270,100 | ||||
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Income tax expense
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78,640 | 77,600 | ||||
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Net income
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$ 196,860 | $ 192,500 |
|
Coronado Company
December 31 |
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|---|---|---|---|---|---|---|
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Assets
|
2022
|
2021
|
||||
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Current assets
|
||||||
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Cash
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$60,300 | $64,400 | ||||
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Debt investments (short-term)
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68,700 | 50,700 | ||||
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Accounts receivable (net)
|
116,500 | 101,200 | ||||
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Inventory
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122,900 | 114,100 | ||||
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Total current assets
|
368,400 | 330,400 | ||||
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Plant assets (net)
|
601,300 | 516,700 | ||||
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Total assets
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$969,700 | $847,100 | ||||
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Liabilities and
|
||||||
|
Current liabilities
|
||||||
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Accounts payable
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$160,500 | $145,700 | ||||
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Income taxes payable
|
43,100 | 41,800 | ||||
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Total current liabilities
|
203,600 | 187,500 | ||||
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Bonds payable
|
220,000 | 200,000 | ||||
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Total liabilities
|
423,600 | 387,500 | ||||
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Stockholders’ equity
|
||||||
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Common stock ($5 par)
|
282,500 | 296,500 | ||||
|
|
263,600 | 163,100 | ||||
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Total stockholders’ equity
|
546,100 | 459,600 | ||||
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Total liabilities and stockholders’ equity
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$969,700 | $847,100 |
All sales were on credit. Net cash provided by operating activities for 2022 was $246,000. Capital expenditures were $142,000, and cash dividends paid were $96,360.
Compute the following ratios for 2022. (Round Earnings per share, Current ratio and Asset turnover to 2 decimal places, e.g. 1.65 or 1.65:1, and all other answers to 1 decimal place, e.g. 6.8 or 6.8%. Use 365 days for calculation.)
|
(a)
|
Earnings per share
|
$enter a dollar amount rounded to 2 decimal places |
|---|
The Answer I put was 3.48 Earnings per share and it was Wrong
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