The comparative financial statements prepared at December 31 for Golden Corporat
ID: 2792126 • Letter: T
Question
The comparative financial statements prepared at December 31 for Golden Corporation showed the following summarized data:
*During the current year, cash dividends of $3,100 were declared and paid.
Compute the debt-to-assets ratios for the current and previous years. (Round your answers to 2 decimal places.)
After Golden released its current year’s financial statements, the company’s stock was trading at $31. After the release of its previous year’s financial statements, the company’s stock price was $22 per share. Compute the P/E ratios for both years. (Round your intermediate calculations and final answers to 2 decimal places.)
The comparative financial statements prepared at December 31 for Golden Corporation showed the following summarized data:
Explanation / Answer
Particulars Current Previous a Total Asset $ 111,730 $ 106,600 b Note payable $ 46,000 $ 46,000 c Debt-to-Assets (b/a) 0.41 0.43 d Net income $ 11,130 $ 10,000 e Share capital $ 30,600 $ 30,600 f Par value $ 5 $ 5 g No of shares 6,120 6,120 h Earning per share (d/g) $ 1.82 $ 1.63 i market price (given) $ 31 $ 22 j PE ration (i/h) 17.05 13.46