60.1K

Verified Solution

Link Copied!

Balence sheets December 31, 2017, 2016,2015 (in millions)	2017	2016	2015
current assets	$650	$900	$700
other assets	2,750	2,050	1,750
total assets	3,400	2,950	2,450
current Liabitlites	$500	$800	$700
Long-term Liabilities	1,500	1,000	800
Stock holders' equity	1,400	1,150	950
Total liabilties and stockholders' equity	$3,400	$2,950	$2,450

income statement and other data: December 31, 2017 and 2016 (in Millions)	2017	2016
Income statement data:
Sales	$3,300	$2,900
Operating Income	380	300
Interest Expense	80	70
Net Income	300	230
Other data:
Average number of common shares outstanding	44	42
Total divdends paid	$50	$30

A.Calculate return on investment, based on net income and average total assets, for 2017 and 2016.

b. Calculate return on equity for 2017 and 2016

C. Calculate working capital and the current ratio for each of the past three years.

D. Calculate earnings per share for 2017 and 2016.

E. If Wiper's stock had a price/earnings ratio of 14 at the end of 2017, what was the market price of the stock?

F.Calculate the cash dividend per share for 2017 and the dividend yield based on the market price calculated in part e.

G. Calculate the dividend payout ratio for 2017.

H. Assume that accounts receivable at December 31, 2017, totaled $310 million. Calculate the number of days' sales in receivables at that date.

I. Calculate Wiper's debt ratio and debt/equity ratio at December 31, 2017 and 2016.

J. Calculate the times interest earned ratio for 2017 and 2016.

Answer & Explanation Solved by verified expert

See Answer