Beller Corporation Cosparative Balance Sheet (dollars in thousands) This Year tast Year \begin{tabular}{|c|c|c|} \hline \multicolumn{3}{|l|}{ Assets } \\ \hline \multicolumn{3}{|l|}{ Current assets: } \\ \hline Cash & 52,242 & 53,130 \\ \hline Accounts recelvable, net & 15,100 & 10,100 \\ \hline Inventory & 18,05a & 8,480 \\ \hline Prepald expenses & 1.870 & 2,240 \\ \hline total current assets & 29,262 & 23,950 \\ \hline \multicolumn{3}{|l|}{ Property and equipoent: } \\ \hline Land & 6,700 & 6,700 \\ \hline Bulldings and equipent, net & 19,900 & 19,700 \\ \hline Total property and equdpment & 26,600 & 26,400 \\ \hline total assets & 5,55,862 & $50,350 \\ \hline \multicolumn{3}{|l|}{ Labilities and stockbolders' Equity } \\ \hline & Current diabditiles: & \\ \hline Accrued liabsilities & & 3.050 \\ \hline Notes parable, short tere & 370 & 320 \\ \hline Total current libbliftles & 11,310 & 10,070 \\ \hline \multicolumn{3}{|l|}{ cong-ter= liablidities: } \\ \hline Sond s payabile & 7,560 & 3, 3 eo \\ \hline Total IIabilitim & 10. ste & 17,570 \\ \hline \multicolumn{3}{|l|}{ stockholisers' equity? } \\ \hline Cnemon stock. & 170 & 870 \\ \hline Additional pald-in capltal & 4.550 & 4,550 \\ \hline Total paid-In capital & 5,420 & 3,420 \\ \hline lutaines earnings & 31,6n & 27,36 \\ \hline Total stocihalders: equlty & 37,052 & 12,710 \\ \hline rotal iratifiteses and stockhileers' equitty & 355,002 & 5.50,250 \\ \hline \end{tabular} Exercise 16 (Algo) rinancial Katios tor Assessing rrotitability [LU16-b] 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 870,000 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 $22. All of the company's sales are on account. Required: Compute the following financial data for this year: 1. Gross margin percentage. Note: Round your percentage answer to 1 decimal place (i.e., 0.1234 should be entered as 12.3 ). 2. Net profit margin percentage. Note: Round your percentage answer to 1 decimal place (i.e., 0.1234 should be entered as 12.3 ). 3. Return on total assets. Note: Round your percentage answer to 1 decimal place (i.e., 0.1234 should be entered as 12.3). 4. Return on equity. Note: Round your percentage answer to 2 decimal places (i.e., 0.1234 should be entered as 12.34 ). \begin{tabular}{|c|c|c|} \hline & This Year & Last Year \\ \hline Sales & $86,000 & $81,000 \\ \hline Cost of goods sold & 55,560 & 51,500 \\ \hline Gross margin & 30,500 & 29,500 \\ \hline Selling and administrative expenses: & & \\ \hline Selling expenses & 9,200 & 8,700 \\ \hline Administrative expenses & 12,700 & 11,700 \\ \hline Total selling and administrative expenses & 21,900 & 20,400 \\ \hline Net operating income & 8,600 & 9,100 \\ \hline Interest expense & 900 & 900 \\ \hline Net income before taxes & 7,760 & 8,200 \\ \hline Income taxes & 3,080 & 3,280 \\ \hline Net income & 4,620 & 4,920 \\ \hline Dividends to common stockholders & 348 & 696 \\ \hline Net income added to retained earnings & 4,272 & 4,224 \\ \hline Beginning retained earnings & 27,360 & 23,136 \\ \hline Ending retained earnings & $31,632 & $27,360 \\ \hline \end{tabular}