4 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 700,000 shares of common stock were outstanding. The interest rate on the bond payable was 10%, 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 the year was $26. All of the company's sales are on account. 14.28 points Weller Corporation Comparative Balance Sheet (dollars in thousands) Skipped This Year Last Year eBook Hint $ 1,160 9,700 13,800 740 25,400 $ 1,310 8,500 11,900 690 22,400 Print References 9,400 48,718 58,118 $83,518 9,400 36,923 46,323 $68,723 Assets Current assets: Cash Accounts receivable, net Inventory Prepaid expenses Total current assets Property and equipment: Land Buildings and equipment, net Total property and equipment Total assets Liabilities and Stockholders' Equity Current liabilities: Accounts payable liabiliti Notes payable, short term Total current liabilities Long-term liabilities: 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 $20,100 1,060 110 $18,800 890 110 19,800 21,270 9,200 9,200 29,000 30, 470 700 4,000 4,700 48,348 53,048 $83,518 700 4,000 4,700 35,023 39,723 $68,723 Che 4 14.28 points Skipped Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands) This Year Last Year Sales $78,260 $ 64,000 Cost of goods sold 37,265 39,000 Gross margin 40,995 25,000 Selling and administrative expenses : Selling expenses 10,500 10,200 Administrative expenses 6,900 6,700 Total selling and administrative expenses 17,400 16,900 Net operating income 23,595 8,100 Interest expense 920 920 Net income before taxes 22,675 7,180 Income taxes 9,070 2,872 Net income 4,308 Dividends to common stockholders 280 525 Net income added to retained earnings 13,325 Beginning retained earnings 35,023 31,240 Ending retained earnings $ 48,348 $35,023 eBook Hint 13,605 Print 3,783 References Required: Compute the following financial data for this year: 1. Accounts receivable turnover. (Assume that all sales are on account.) (Round your answer to 2 decimal places.) 2. Average collection period. (Use 365 days in a year. Round your intermediate calculations and final answer to 2 decimal places.) 3. Inventory turnover. (Round your answer to 2 decimal places.) 4. Average sale period. (Use 365 days in a year. Round your intermediate calculations and final answer to 2 decimal places.) 5. Operating cycle. (Round your intermediate calculations and final answer to 2 decimal places.) 6. Total asset turnover. (Round your answer to 2 decimal places.)
