25 6 points Exercise 14-6 (Algo) Financial Ratios for Assessing Market Performance [LO14-6] Comparative financial statements for Weller Corporation, a merchandising company, for the year ending December 31 appear below. The company did not issue any new common stock during the year. A total of 930,000 shares of common stock were outstanding. The Interest rate on the bond payable was 12%, the income tax rate was 40%, and the dividend per share of common stock was $0.75 last year and $0.40 this year. The market value of the company's common stock at the end of this year was $24.50. All of the company's sales are on account. Weller Corporation Comparative Balance Sheet (dollars in thousands) This Year Last Year Assets Current assets Cash Accounts receivable, net Inventory Prepaid expenses Total current assets $4,038 $ 4,140 15,700 10,350 10,400 8,720 1,930 2,360 32,010 25,620 Property and equipment. Land 7,300 7,300 Buildings and equipment, net 20,500 20,300 Total property and equipment 27,000 27,600 Total assets $59,818 $53,220 Liabilities and Stockholders' Equity Current liabilities: Accounts payable $10,000 $ 8,950 Accrued liabilities 360 Notes payable, short tere Total current liabilities Long-term liabilities: Bonds payable 430 12,090) 8,750 1,350 430 10,730) 8,750 Check my work mode: This shows what is correct or incorrect for the work you have completed so far. It does not indi 8,250 20,840 8,750 19,480 930 4,050 930 4,850 5,780 5,780 33,198 27,960 38,978 $ 59,818 33,740 $53,220 25 6 points Bonds payable Total liabilities Stockholders' equity: Common stock Additional paid-in capital Total paid-in capital Retained earnings Total stockholders' equity Total liabilities and stockholders' equity Comparative Income Statement and Reconciliation Weller Corporation (dollars in thousands) Sales Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses Administrative expenses Total selling and administrative expenses Net operating income Interest expense Net income before taxes Income taxes Net income Dividends to common stockholders Net income added to retained earnings Beginning retained earnings Ending retained earnings Required: Compute the following financial data for this year: 1. Earnings per share. (Round your answer to 2 decimal places.) This Year $ 92,000 58,500 33,500 Last Year $ 87,000 54,500 32,500 9,300 9,800 13,300 12,300 23,100 21,600 10,400 10,900. 1,050 1,050 9,350 9,850 3,740 3,940 5,610 5,910 372 744 5,238 27,960 5,166 22,794 $ 33,198 $ 27,960 Required: Compute the following financial data for this year; 1. Earnings per share. (Round your answer to 2 decimal places.) 2. Price-earnings ratio. (Round your intermediate calculations and final answer to 2 decimal places.) 3. Dividend payout ratio. (Round your intermediate calculations and final answer to 2 decimal places.) 4. Dividend yield ratio. (Round your intermediate calculations and final answer to 2 decimal places.) 5. Book value per share. (Round your answer to 2 decimal places.) Answer is complete but not entirely correct. 1 Eamings per share $ 5.55 2. Price-earnings ratio 4.41 3. Dividend payout ratio 7.21% 4 Dividend yield ratio 1.63% 5 Book value per share $ 41.91