Question

Condensed balance sheet and income statement data for Concord Corporation are presented here. Concord Corporation Balance Sheets December 31 2020 2019 Cash $ 31,000 $ 21,000 Accounts receivable (net) 51,000 46,000 Other current assets 98,000 103,000 Investments 63,000 78,000 Plant and equipment (net) 500,000 370,000 $743,000 $618,000 Current liabilities $ 86,000 $ 81,000 Long-term debt 153,000 93,000 Common stock, $10 par 328,000 318,000 Retained earnings 176,000 126,000 $743,000 $618,000 2018 $ 19,000 49,000 72,000 53,000 358,000 $551,000 $ 71,000 58,000 308,000 114,000 $551,000 Concord Corporation Income Statements For the Years Ended December 31 2020 Sales revenue $748,000 Less: Sales returns and allowances 41,000 Net sales 707,000 Cost of goods sold 433,000 Gross profit 274,000 Operating expenses (including income taxes) 181,000 Net income $ 93,000 2019 $608,000 31,000 577,000 358,000 219,000 151,000 $ 68,000 Additional information: 1. The market price of Concord's common stock was $7.00, $7.50, and $8.50 for 2018, 2019, and 2020, respectively. You must compute dividends paid. All dividends were paid in cash. 2.

Answer 1

2020 2019 Profit margin: Net Profit xloo 93000 xluo G8000 Net Sale Xloo 707oou 57700 N 13.15 % N 11.79 % Gross Profit z Net sale - COGS xloo Net sale 707000-433000 xloo 707oou 577000 -3580oxico rale 577ow Z 38.76 % N 37.95 %

2020 2019 Earning per Net Income 93000 z 68our Share No. J Shane 32 800 31800 =$2.84 N $ 2.14 Price Ecuning Macko Price per z 8.50 Share Ratio 7.50 Per Ecuniy Share 2.84 2.14 2 3 2.99 N 3.50

2020 2019 707000 Asset Tuna Net Sale Avenge Total Asset 57700 680500 souso N. 1.04 6.99 N