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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

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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 800,000 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 5075 last year and $0.40 this year. The market value of the company's common stock at the end of this year was $18. All of the company's sales are on account heller Corporation Comparative Balance Sheet (dollars in thousands) This Year Last Year $ 1,280 12,300 9,700 $ 1,560 9,100 8,200 2,100 1,800 25,00 20,960 6,000 19,200 25,200 $50,200 6,000 19,000 25,000 145,950 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 Accrued liabilities Notes payable, short tern 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 $ 9,500 600 300 10,400 $ 8,300 700 300 9,300 5,000 5,000 14,300 15,400 100 4,200 5,000 29,880 34,380 $50,280 800 4,200 5,000 26,660 31,660 $45,960 bok 8,000 Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands) This Year Last Year Sales $79,000 $74,000 Cost of goods sold 52, eee 48,000 Gross margin 27,eee 26,000 Selling and administrative expenses: Selling expenses 8,5ee Administrative expenses 12,800 11 Total selling and administrative expenses 20,500 19, eee Net operating income 6,500 7, e80 Interest expense 600 600 Net income before taxes 5,900 6,400 Income taxes 2,360 2,560 Net Income 3,540 3,840 Dividends to common stockholders 320 6ee Net income added to retained earnings 3,220 3,24e Beginning retained earnings 26,660 23,420 Ending retained earnings $29,888 $26,660 Required: Compute the following financial data and ratios for this year: 1. Working capital (Enter your answer in thousands.) 2. Current ratio. (Round your answer to 2 decimal places.) 3. Acid-test ratio. (Round your answer to 2 decimal places.) 1. Working capital 2 Current ratio 3 Acid.test ratio 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.) + Accounts receivable tumover 2 Average collection period 3 Inventory tumover 4. Average sale period 5. Operating cycle 6. Total asset turnover 8.60 42 44 days 3.00 10138 days 16530 days 0.10 Required: Compute the following financial ratios for this year: 1. Times Interest earned ratio. 2. Debt-to-equity ratio. 3. Equity multiplier. (For all requirements, round your answers to 2 decimal places.) 1. Times interest earned ratio 2. Debt-to-equity ratio 3. Equity multiplier Required: Compute the following financial data for this year 1. Gross margin percentage. (Round your percentage answer to 1 decimal place (.e., 0.1234 should be entered as 12,3).) 2. Net profit margin percentage. (Round your percentage answer to 1 decimal place (.e., 0.1234 should be entered as 12.3).) 3. Return on total assets. (Round your percentage answer to 1 decimal place (.e., 0.1234 should be entered as 12.3).) 4. Return on equity. (Round your percentage answer to 2 decimal places (le. 0.1234 should be entered as 12.34).) % 1. Gross margin percentage 2. Net profit margin percentage 3 Return on total assets 4. Return on equity 96 10.64% N 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 answer to 2 decimal places.) 5. Book value per share. (Round your answer to 2 decimal places.) 1 Earnings per sharo 2. Price-earnings ratio 3. Dividend payout ratio 4. Dividend yield ratio 5. Book value per share % %

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