Stevens Textiles 2002 financial statements are shown below. Stevens Textile: Balance Sheet as of December 31, 2002

Stevens Textile’s 2002 financial statements are shown below.

Transcribed Image Text:

Stevens Textile: Balance Sheet as of December 31, 2002 (Thousands of Dollars) Cash $ 1,080 Accounts payable $ 4,320 Receivables 6,480 Accruals 2,880 Inventories 9,000 Notes payable 2,100 Total current assets $16,560 Total current liabilities $ 9,300 Net fixed assets 12,600 Mortgage bonds 3,500 Common stock 3,500 Retained earnings 12,860 Total assets $29,160 Total liabilities and equity $29,160 Stevens Textile: Income Statement for December 31, 2002 (Thousands of Dollars) Sales $36,000 Operating costs 32,440 Earnings before interest and taxes $ 3,560 Interest 460 Earnings before taxes $ 3,100 Taxes (40%) 1,240 Net income $ 1,860 Dividends (45%) $ 837 Addition to retained earnings $ 1,023