The financial statements for Castile Products, Inc., are given below: ...

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Accounting

The financial statements for Castile Products, Inc., are given below:

Castile Products, Inc. Balance Sheet December 31
Assets
Current assets:
Cash $ 22,000
Accounts receivable, net 200,000
Merchandise inventory 390,000
Prepaid expenses 7,000



Total current assets 619,000
Property and equipment, net 910,000



Total assets $ 1,529,000






Liabilities and Stockholders' Equity
Liabilities:
Current liabilities $ 260,000
Bonds payable, 9% 350,000



Total liabilities 610,000
Stockholders equity:
Common stock, $5 par value $ 120,000
Retained earnings 799,000



Total stockholders equity 919,000



Total liabilities and equity $ 1,529,000







Castile Products, Inc. Income Statement For the Year Ended December 31
Sales $ 2,260,000
Cost of goods sold 1,190,000



Gross margin 1,070,000
Selling and administrative expenses 610,000



Net operating income 460,000
Interest expense 31,500



Net income before taxes 428,500
Income taxes (30%) 128,550



Net income $ 299,950







Account balances at the beginning of the year were: accounts receivable, $240,000; and inventory, $300,000. All sales were on account.

Assume that Castile Products, Inc., paid dividends of $3.65 per share during the year. Also assume that the companys common stock had a market price of $63 at the end of the year and there was no change in the number of outstanding shares of common stock during the year.

1. Dividend yield ratio

2. Price-earnings ratio

3. Book value per share

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