Use the following information to answer this question: Windswept, Incorporated 2021 Income Statement ($ in millions) Net sales $ 9,250 Cost of goods sold 7,550 Depreciation 330 Earnings before interest and taxes $ 1,370 Interest paid 82 Taxable income $ 1,288 Taxes 270 Net income $ 1,018 Windswept, Incorporated 2020 and 2021 Balance Sheets ($ in millions) 2020 2021 2020 2021 Cash $ 200 $ 215 Accounts payable $ 1,380 $ 1,587 Accounts received 950 850 Long-term debt 1,000 1,178 Inventory 1,620 1,580 Common stock 3,200 2,950 Total $ 2,770 $ 2,645 Retained earnings 510 760 Net fixed assets 3,320 3,830 Total assets $ 6,090 $ 6,475 Total liabilities & equity $ 6,090 $ 6,475 Windswept, Incorporated, has 350 million shares of stock outstanding. Its price-earnings ratio for 2021 is 12. What is the market price per share of stock?
Use the following information to answer this question: Windswept, Incorporated 2021 Income Statement ($ in millions) Net sales $ 9,250 Cost of goods sold 7,550 Depreciation 330 Earnings before interest and taxes $ 1,370 Interest paid 82 Taxable income $ 1,288 Taxes 270 Net income $ 1,018 Windswept, Incorporated 2020 and 2021 Balance Sheets ($ in millions) 2020 2021 2020 2021 Cash $ 200 $ 215 Accounts payable $ 1,380 $ 1,587 Accounts received 950 850 Long-term debt 1,000 1,178 Inventory 1,620 1,580 Common stock 3,200 2,950 Total $ 2,770 $ 2,645 Retained earnings 510 760 Net fixed assets 3,320 3,830 Total assets $ 6,090 $ 6,475 Total liabilities & equity $ 6,090 $ 6,475 Windswept, Incorporated, has 350 million shares of stock outstanding. Its price-earnings ratio for 2021 is 12. What is the market price per share of stock?
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
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Use the following information to answer this question:
| Windswept, Incorporated | |
| 2021 Income Statement | |
| ($ in millions) | |
| Net sales | $ 9,250 |
|---|---|
| Cost of goods sold | 7,550 |
| 330 | |
| Earnings before interest and taxes | $ 1,370 |
| Interest paid | 82 |
| Taxable income | $ 1,288 |
| Taxes | 270 |
| Net income | $ 1,018 |
| Windswept, Incorporated | |||||
| 2020 and 2021 |
|||||
| ($ in millions) | |||||
| 2020 | 2021 | 2020 | 2021 | ||
|---|---|---|---|---|---|
| Cash | $ 200 | $ 215 | Accounts payable | $ 1,380 | $ 1,587 |
| Accounts received | 950 | 850 | Long-term debt | 1,000 | 1,178 |
| Inventory | 1,620 | 1,580 | Common stock | 3,200 | 2,950 |
| Total | $ 2,770 | $ 2,645 | 510 | 760 | |
| Net fixed assets | 3,320 | 3,830 | |||
| Total assets | $ 6,090 | $ 6,475 | Total liabilities & equity | $ 6,090 | $ 6,475 |
Windswept, Incorporated, has 350 million shares of stock outstanding. Its price-earnings ratio for 2021 is 12. What is the market price per share of stock?
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