Here is the income statement for Sunland, Inc. Sunland, Inc. Income Statement For the Year Ended December 31, 2022 Net sales $430,000 Cost of goods sold 200,000 Gross profit 230,000 Expenses (including $10,000 interest and $23,000 income taxes) 103,000 Net income $ 127,000 Additional information: 1. Common stock outstanding January 1, 2022, was 27,750 shares, and 31,750 shares were outstanding at December 31, 2022. (Use a simple average for weighted-average.) 2. The market price of Sunland stock was $28 on December 31, 2022 3. Cash dividends of $28,140 were declared and paid. Compute the following measures for 2022. (Round Earnings per share to 2 decimal places, e.g. 1.65, and all other answers to 1 decimal place, e.g. 6.8 or 6.8%.) (a) Earnings per share $enter a dollar amount rounded to 2 decimal places (b) Price-earnings ratio enter a number of times rounded to 1 decimal place times (c) Payout ratio enter percentages rounded to 1 decimal place % (d) Times interest earned enter a number of times rounded to 1 decimal place times
Here is the income statement for Sunland, Inc. Sunland, Inc. Income Statement For the Year Ended December 31, 2022 Net sales $430,000 Cost of goods sold 200,000 Gross profit 230,000 Expenses (including $10,000 interest and $23,000 income taxes) 103,000 Net income $ 127,000 Additional information: 1. Common stock outstanding January 1, 2022, was 27,750 shares, and 31,750 shares were outstanding at December 31, 2022. (Use a simple average for weighted-average.) 2. The market price of Sunland stock was $28 on December 31, 2022 3. Cash dividends of $28,140 were declared and paid. Compute the following measures for 2022. (Round Earnings per share to 2 decimal places, e.g. 1.65, and all other answers to 1 decimal place, e.g. 6.8 or 6.8%.) (a) Earnings per share $enter a dollar amount rounded to 2 decimal places (b) Price-earnings ratio enter a number of times rounded to 1 decimal place times (c) Payout ratio enter percentages rounded to 1 decimal place % (d) Times interest earned enter a number of times rounded to 1 decimal place times
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter16: Financial Statement Analysis
Section: Chapter Questions
Problem 21E
Related questions
Question
Here is the income statement for Sunland, Inc.
Sunland, Inc. |
||
---|---|---|
Net sales |
$430,000 | |
Cost of goods sold |
200,000 | |
Gross profit |
230,000 | |
Expenses (including $10,000 interest and $23,000 income taxes) |
103,000 | |
Net income |
$ 127,000 |
Additional information:
1. | Common stock outstanding January 1, 2022, was 27,750 shares, and 31,750 shares were outstanding at December 31, 2022. (Use a simple average for weighted-average.) | |
2. | The market price of Sunland stock was $28 on December 31, 2022 | |
3. | Cash dividends of $28,140 were declared and paid. |
Compute the following measures for 2022. (Round Earnings per share to 2 decimal places, e.g. 1.65, and all other answers to 1 decimal place, e.g. 6.8 or 6.8%.)
(a) |
Earnings per share |
$enter a dollar amount rounded to 2 decimal places | |||
---|---|---|---|---|---|
(b) |
Price-earnings ratio |
enter a number of times rounded to 1 decimal place | times | ||
(c) |
Payout ratio |
enter percentages rounded to 1 decimal place | % | ||
(d) |
Times interest earned |
enter a number of times rounded to 1 decimal place | times |
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