From the following data, determine for the current year the (a) rate earned on total assets, (b) rate earned on stockholders' equity, (c) rate earned on common stockholders' equity, (d) earnings per share on common stock, (e) price-earnings ratio on common stock, and (f) dividend yield on common stock. Assume that the current market price per share of common stock is $25. (Present key figures used in your computations.)
- Current Year Preceding Year
- Current assets $ 745,000 $ 820,000
- Property, plant, and equipment 1,510,000 1,400,000
- Current liabilities
- (non-interest-bearing) 160,000 140,000
- Long-term liabilities, 12% 400,000 400,000
- Preferred 10% stock 250,000 250,000
- Common stock, $25 par 1,200,000 1,200,000
- Retained earnings:
- Beginning of year 240,000 160,000
- Net income for year 95,000 155,000
- Preferred dividends declared (25,000) (25,000)
- Common dividends declared (70,000) (60,000)