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mtpx Balance Sheets as of December 31,2013 and 2014 14 3057 Curent labilne iabil

ID: 2821364 • Letter: M

Question

mtpx Balance Sheets as of December 31,2013 and 2014 14 3057 Curent labilne iabilities and 3,057 Accounts payable 2013 Current assets s 3,061 Cash Inventory Total $ 2,178 $ 2,650 1,775 2,166 112 4.742 5,731 Notes payable 12,57813,732 Other $20,381 $ 22,520 Tota 4,048 4,928 Long-term debt Owners' equity $12,900 $ 15,660 and paid-in surplus S40,500 s 40.500 Fixed assets 15,679 39,477 56,179 S 79,977 73,127 $100.565 Total liabilities and owners equity$73,127 $100.565 Net plant and equipment$52.746 78.045 Total . Total assets SMOLIRA GOLF, INO 2014 Income Statement s 188,370 126,703 5283 56.384 55.004 ost o EBIT

Explanation / Answer

1) Price-earnings ratio: This is ratio of price of a stock to earnings per share, which is also written as P/E of a company.

Price per share = $82

Earnings per share = Net Income/Number of shares outstanding = $35,753/11,000 = $3.25/share

P/E = $82/$3.25 = 25.23

2) Price-sales ratio: This is ratio of price of a stock to sales per share, which is also written as P/S of a company.

Price per share = $82

Sales per share = Sales/Number of shares outstanding = $188,370/11,000 = $17.12/share

P/S = $82/$17.12 = 4.79

3) Dividends per share

Dividend per share = Total dividends/Number of share outstanding = $11,955/11,000 = $1.09/share

4) Market to Book Value ratio

We need to calculate book value per share first

Book value per share = Total value of equity on balance sheet/Number of shares outstanding = $79,977/11,000 = $7.27 per share

Market value per share = $82

Market Value to Book Value = $82/$7.27 = 11.28