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Comparative financial statements for Weller Corporation, a merchandising company, for the fiscal year ending December 31 appear below. The company did not issue any new
Comparative financial statements for Weller Corporation, a merchandising company, for the fiscal year ending December 31 appear below. The company did not issue any new common stock during the year. A total of 600,000 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 $1.25 last year and $0.90 this year. The market value of the company's common stock at the end of the year was $26. All of t company's sales are on account. Weller Corporation Comparative Balance Sheet (dollars in thousands) This Year Last Year Assets Current assets: 1,240 1,410 Cash Accounts receivable, net 9,200 7,900 Inventory 12,500 12,400 Prepaid expenses 710 650 Total current assets 23,650 22,360 Property and equipment: Land 9,300 9,300 Buildings and equipment, net 41,186 37,252 Total property and equipment 50,486 46,552 Total assets $74,136 68,912 Liabilities and Stockholders' Equity Current liabilities: Accounts payable $19,300 19,200 Accrued liabilities 980 740 Notes payable, short term 190 190 Total current liabilities 20,470 20,130 Long-term liabilities: Bonds payable 9,800 9,800
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