Question
30 million preferred stock
250 million common stock
Worldwide Widget Manufacturing, Inc. Income Statement for Years Ending December 31, 2015 and 2014 (in millions of dollars) 2015 0g. ? 2014 $2,018 Net sales Less: Cost of goods sold Gross profits Less: Other operating expenses 753h.? $1,623 8a9 $1,189 - EBITDA) $1,200 $1,022 Less: Depreciation Earnings before interest and taxes (EBIT) Less: Interest Earnings before taxes (EBT) Less: Taxes Net income Less: Preferred stock dividends Net income available to common stock holders Less: Common stock dividends Addition to retained earnings Per (common) share data Earnings per share (EPS) Dividends per share (DPS) Book value per share (BVPS) Market value per share (MVPS) $1,086 908 128 $949 780 234 137 s 664 546 98 98 $566 448 219 199 347 249 k. ? $0.88 .? m. ? $23.97 $22.47 $1.79 $ 5.77 g. Net sales for 2015 h. Less: Cost of goods sold for 2014 831 . Less: Interest for 2015 31 085 Less: Taxes for 2015 j· k. Earnings per share (EPS) for 2015 1. Dividends per share (DPS) for 2014 m. Book value per share (BVPS) for 2015 Graded Project
Explanation / Answer
G. Net sales for 2015 = (1623 + 753) = $2376.
H. Cost of goods sold for 2014 = (2018-1189) = 829.
I. Interest for 2015 = (1086-949) = 137.
J. Tax for 2015 = (949-664) = 285
K. EPS for 2015 = (566/250) = $2.264
L. DPS for 2014 = (199/250) = $0.769
M. BVPS for 2015 = BVPS of 2014, if no additional is provided = $5.77.
N. Net income = Earning before tax = $949.
For O, P, Q, R, S, T & V additional information is needed. Insufficient data is provided.
U. Dividend paid = (Equity dividend + Preference dividend) = (98+219) = $317