Steele Inc. Consolidated Statements of Income (in thousands except per share amounts)   2023   2022   2021 Net sales $7,245,088   $6,944,296   $6,149,218 Cost of goods sold (5,286,253)   (4,953,556)   (4,355,675) Gross margin $1,958,835   $1,990,740   $1,793,543 General and administrative expenses (1,259,896)   (1,202,042)   (1,080,843) Special and nonrecurring items 2,617   0   0 Operating income $701,556   $788,698   $712,700 Interest expense (63,685)   (62,398)   (63,927) Other income 7,308   10,080   11,529 Gain on sale of investments 0   9,117   0 Income before income taxes $645,179   $745,497   $660,302 Provision for income taxes 254,000   290,000   257,000 Net income $391,179   $455,497   $403,302   Steele Inc. Consolidated Balance Sheets (in thousands) ASSETS     Dec. 31, 2023     Dec. 31, 2022 Current assets: Cash and equivalents     $320,558     $41,235 Accounts receivable     1,056,911     837,377 Inventories     733,700     803,707 Other     109,456     101,811 Total current assets     $2,220,625     $1,784,130 Property and equipment, net     1,666,588     1,813,948 Other assets     247,892     248,372 Total assets     $4,135,105     $3,846,450 LIABILITIES AND STOCKHOLDERS' EQUITY   Current liabilities Accounts payable     $250,363     $309,092 Accrued expenses     347,892     274,220 Other current liabilities     15,700     0 Income taxes     93,489     137,466 Total current liabilities     $707,444     $720,778 Long-term debt     $650,000     $541,639 Deferred income taxes     275,101     274,844 Other long-term liabilities     61,267     41,572 Total liabilities     $1,693,812     $1,578,833 Stockholders' equity: Preferred stock     $100,000     $100,000 Common stock     89,727     89,727 Additional paid-in-capital-common stock     128,906     127,776 Retained earnings     2,397,112     2,136,794       $2,715,745     $2,454,297 Less: Treasury stock, at cost     (274,452)     (186,680) Total stockholders' equity     $2,441,293     $2,267,617 Total liabilities and stockholders' equity     $4,135,105     $3,846,450 Use the information provided above and below to respond to the following requirements.   Year ended December 31 Item 2023 2022 Average number of common shares outstanding (thousands) 362,902 364,398 Preferred dividends (thousands) $24,000 $24,000 Dividends per common share $0.36 $1.54 Common Dividends (thousands) 130,861.00 561,172.30 Common stock repurchases 0 0 Market price per share: High $83.25 $79.10 Low 63.25 59.00 Close 78.42 66.36 At January 1, 2022, total stockholders' equity was $2,083,122 and there was no preferred stock. Required: 1.  Compute the earnings per share, return on common equity, dividend yield ratio, and dividend payout ratio (in percentage terms, rounded to two decimal places except for EPS, which should be rounded to nearest cent) for 2022 and 2023.   2023 2022 Earnings per share $fill in the blank 1   $fill in the blank 2   Return on common equity fill in the blank 3 % fill in the blank 4 % Dividend yield ratio fill in the blank 5 % fill in the blank 6 % Dividend payout ratio fill in the blank 7 % fill in the blank 8 %

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Steele Inc.
Consolidated Statements of Income
(in thousands except per share amounts)
  2023   2022   2021
Net sales $7,245,088   $6,944,296   $6,149,218
Cost of goods sold (5,286,253)   (4,953,556)   (4,355,675)
Gross margin $1,958,835   $1,990,740   $1,793,543
General and administrative expenses (1,259,896)   (1,202,042)   (1,080,843)
Special and nonrecurring items 2,617   0   0
Operating income $701,556   $788,698   $712,700
Interest expense (63,685)   (62,398)   (63,927)
Other income 7,308   10,080   11,529
Gain on sale of investments 0   9,117   0
Income before income taxes $645,179   $745,497   $660,302
Provision for income taxes 254,000   290,000   257,000
Net income $391,179   $455,497   $403,302

 

Steele Inc.
Consolidated Balance Sheets
(in thousands)
ASSETS     Dec. 31, 2023     Dec. 31, 2022
Current assets:
Cash and equivalents     $320,558     $41,235
Accounts receivable     1,056,911     837,377
Inventories     733,700     803,707
Other     109,456     101,811
Total current assets     $2,220,625     $1,784,130
Property and equipment, net     1,666,588     1,813,948
Other assets     247,892     248,372
Total assets     $4,135,105     $3,846,450
LIABILITIES AND STOCKHOLDERS' EQUITY  
Current liabilities
Accounts payable     $250,363     $309,092
Accrued expenses     347,892     274,220
Other current liabilities     15,700     0
Income taxes     93,489     137,466
Total current liabilities     $707,444     $720,778
Long-term debt     $650,000     $541,639
Deferred income taxes     275,101     274,844
Other long-term liabilities     61,267     41,572
Total liabilities     $1,693,812     $1,578,833
Stockholders' equity:
Preferred stock     $100,000     $100,000
Common stock     89,727     89,727
Additional paid-in-capital-common stock     128,906     127,776
Retained earnings     2,397,112     2,136,794
      $2,715,745     $2,454,297
Less: Treasury stock, at cost     (274,452)     (186,680)
Total stockholders' equity     $2,441,293     $2,267,617
Total liabilities and stockholders' equity     $4,135,105     $3,846,450

Use the information provided above and below to respond to the following requirements.

  Year ended December 31
Item 2023 2022
Average number of common shares outstanding (thousands) 362,902 364,398
Preferred dividends (thousands) $24,000 $24,000
Dividends per common share $0.36 $1.54
Common Dividends (thousands) 130,861.00 561,172.30
Common stock repurchases 0 0
Market price per share:
High $83.25 $79.10
Low 63.25 59.00
Close 78.42 66.36
At January 1, 2022, total stockholders' equity was $2,083,122 and there was no preferred stock.

Required:

1.  Compute the earnings per share, return on common equity, dividend yield ratio, and dividend payout ratio (in percentage terms, rounded to two decimal places except for EPS, which should be rounded to nearest cent) for 2022 and 2023.

  2023 2022
Earnings per share $fill in the blank 1   $fill in the blank 2  
Return on common equity fill in the blank 3 % fill in the blank 4 %
Dividend yield ratio fill in the blank 5 % fill in the blank 6 %
Dividend payout ratio fill in the blank 7 % fill in the blank 8 %
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