Questions: Presented here are summarized data from the balance sheets and income statements of Wiper Incorporated: Required: a. Calculate return on investment, based on net income and average total assets, for 2023 and 2022. b. Calculate return on equity for 2023 and 2022. c. Calculate working capital and the current ratio for each of the past three years. d. Calculate earnings per share for 2023 and 2022. e. If Wiper's stock had a price/earnings ratio of 12 at the end of 2023, what was the market price of the stock? f. Calculate the cash dividend per share for 2023 and the dividend yield based on the market price calculated in part e. g. Calculate the dividend payout ratio for 2023. h. Assume that accounts receivable at December 31, 2023, totaled 329 million. Calculate the number of days' sales in receivables at that date. i. Calculate Wiper's debt ratio and debt/equity ratio at December 31, 2023 and 2022. j. Calculate the times interest earned ratio for 2023 and 2022.

To answer the questions, we need to have the summarized data from the balance sheets and income statements of Wiper Incorporated for the years 2023 and 2022. Since the data is not provided in the question, I will outline the steps and formulas needed to calculate each of the required metrics.

Formula: \[ \text{ROI} = \frac{\text{Net Income}}{\text{Average Total Assets}} \]

Steps:

1. Find the net income for 2023 and 2022.
2. Calculate the average total assets for each year: \[ \text{Average Total Assets} = \frac{\text{Total Assets at the beginning of the year} + \text{Total Assets at the end of the year}}{2} \]
3. Apply the formula to get ROI for both years.

Formula: \[ \text{ROE} = \frac{\text{Net Income}}{\text{Average Shareholders' Equity}} \]

Steps:

1. Find the net income for 2023 and 2022.
2. Calculate the average shareholders' equity for each year: \[ \text{Average Shareholders' Equity} = \frac{\text{Shareholders' Equity at the beginning of the year} + \text{Shareholders' Equity at the end of the year}}{2} \]
3. Apply the formula to get ROE for both years.

Formulas: \[ \text{Working Capital} = \text{Current Assets} - \text{Current Liabilities} \] \[ \text{Current Ratio} = \frac{\text{Current Assets}}{\text{Current Liabilities}} \]

Steps:

1. Find the current assets and current liabilities for each of the past three years.
2. Apply the formulas to calculate working capital and current ratio for each year.

Formula: \[ \text{EPS} = \frac{\text{Net Income} - \text{Preferred Dividends}}{\text{Weighted Average Shares Outstanding}} \]

Steps:

1. Find the net income for 2023 and 2022.
2. Subtract any preferred dividends if applicable.
3. Determine the weighted average shares outstanding for each year.
4. Apply the formula to get EPS for both years.

Given: \[ \text{Price/Earnings (P/E) Ratio} = 12 \]

Formula: \[ \text{Market Price} = \text{EPS} \times \text{P/E Ratio} \]

Steps:

1. Use the EPS calculated in part d for 2023.
2. Multiply the EPS by the P/E ratio to get the market price.

Formulas: \[ \text{Cash Dividend Per Share} = \frac{\text{Total Dividends Paid}}{\text{Shares Outstanding}} \] \[ \text{Dividend Yield} = \frac{\text{Cash Dividend Per Share}}{\text{Market Price}} \]

Steps:

1. Find the total dividends paid in 2023.
2. Determine the shares outstanding.
3. Apply the formulas to calculate cash dividend per share and dividend yield.

Formula: \[ \text{Dividend Payout Ratio} = \frac{\text{Total Dividends Paid}}{\text{Net Income}} \]

Steps:

1. Use the total dividends paid and net income for 2023.
2. Apply the formula to get the dividend payout ratio.

Formula: \[ \text{Days' Sales in Receivables} = \frac{\text{Accounts Receivable}}{\text{Net Sales}} \times 365 \]

Steps:

1. Find the accounts receivable at December 31, 2023.
2. Determine the net sales for 2023.
3. Apply the formula to calculate the number of days' sales in receivables.

Formulas: \[ \text{Debt Ratio} = \frac{\text{Total Liabilities}}{\text{Total Assets}} \] \[ \text{Debt/Equity Ratio} = \frac{\text{Total Liabilities}}{\text{Shareholders' Equity}} \]

Steps:

1. Find the total liabilities and total assets for December 31, 2023 and 2022.
2. Determine the shareholders' equity for both years.
3. Apply the formulas to calculate the debt ratio and debt/equity ratio for both years.

Formula: \[ \text{Times Interest Earned} = \frac{\text{Earnings Before Interest and Taxes (EBIT)}}{\text{Interest Expense}} \]

Steps:

1. Find the EBIT for 2023 and 2022.
2. Determine the interest expense for both years.
3. Apply the formula to calculate the times interest earned ratio for both years.

To complete the calculations, you need the specific financial data from Wiper Incorporated's balance sheets and income statements for the years 2023 and 2022. Once you have the data, you can follow the outlined steps and formulas to compute each of the required metrics.