The comparative financial statements prepared at December 31, 2017, for Pinnacle Plus showed the following...
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The comparative financial statements prepared at December 31, 2017, for Pinnacle Plus showed the following summarized data One-half of all sales are on credit. During 2017 , cash dividends amounting to $6,600 were declared and paid. Required: 1-a. Compute the gross profit percentage in 2017 and 2016. (Round your answers to 1 decimal place.) 1-b. Is the trend going in the right direction? Yes No 2-a. Compute the net profit margin for 2017 and 2016. (Round your answers to 1 decimal place.) 2-b. Is the trend going in the right direction? Yes No 3-a. Compute the earnings per share for 2017 and 2016. (Round your answers to 2 decimal places.) 3-b. Does the trend look good or bad? Good Bad 4-a. Shareholders' equity totalled $100,000 at the end of 2015. Compute the return on equity (ROE) ratios for 2017 and 2016. (Round your answers to 1 decimal place.) 4-b. Is the trend going in the right direction? Yes No 5-a. Net property and equipment totalled $110,000 at the end of 2015. Compute the fixed asset turnover ratios for 2017 and 2016 . (Round your answers to 2 decimal places.) 5-b. Is the trend going in the right direction? Yes No 6-a. Compute the debt-to-assets ratios for 2017 and 2016. (Round your answers to 2 decimal places.) 6-b. Is debt providing financing for a larger or smaller proportion of the company's asset growth? Smaller proportion Larger proportion 7-a. Compute the times interest earned ratios for 2017 and 2016. (Round your answers to 1 decimal place.) 7-b. Does the outcome of ratio in 2017 appears to be good or bad for the company? Good Bad 8-a. After Pinnacle Plus released its 2017 financial statements, the company's shares were trading at \$18. After the release of its 2016 inancial statements, the company's share price was $15 per share. Compute the P/E ratios for both years. (Round intermediate calculations to 2 decimal places and final answers to 1 decimal place.) 8-b. Does it appear that investors have become more (or less) optimistic about Pinnacle's future success? More optimistic Less optimistic
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The comparative financial statements prepared at December 31, 2017, for Pinnacle Plus showed the following summarized data One-half of all sales are on credit. During 2017 , cash dividends amounting to $6,600 were declared and paid. Required: 1-a. Compute the gross profit percentage in 2017 and 2016. (Round your answers to 1 decimal place.) 1-b. Is the trend going in the right direction? Yes No 2-a. Compute the net profit margin for 2017 and 2016. (Round your answers to 1 decimal place.) 2-b. Is the trend going in the right direction? Yes No 3-a. Compute the earnings per share for 2017 and 2016. (Round your answers to 2 decimal places.) 3-b. Does the trend look good or bad? Good Bad 4-a. Shareholders' equity totalled $100,000 at the end of 2015. Compute the return on equity (ROE) ratios for 2017 and 2016. (Round your answers to 1 decimal place.) 4-b. Is the trend going in the right direction? Yes No 5-a. Net property and equipment totalled $110,000 at the end of 2015. Compute the fixed asset turnover ratios for 2017 and 2016 . (Round your answers to 2 decimal places.) 5-b. Is the trend going in the right direction? Yes No 6-a. Compute the debt-to-assets ratios for 2017 and 2016. (Round your answers to 2 decimal places.) 6-b. Is debt providing financing for a larger or smaller proportion of the company's asset growth? Smaller proportion Larger proportion 7-a. Compute the times interest earned ratios for 2017 and 2016. (Round your answers to 1 decimal place.) 7-b. Does the outcome of ratio in 2017 appears to be good or bad for the company? Good Bad 8-a. After Pinnacle Plus released its 2017 financial statements, the company's shares were trading at \$18. After the release of its 2016 inancial statements, the company's share price was $15 per share. Compute the P/E ratios for both years. (Round intermediate calculations to 2 decimal places and final answers to 1 decimal place.) 8-b. Does it appear that investors have become more (or less) optimistic about Pinnacle's future success? More optimistic Less optimistic 