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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
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 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 $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 $26. All of the company's sales are on account. Weller Corporation Comparative Balance Sheet (dollars in thousands) This Last Year Year Assets Current assets: Cash Accounts receivable, net Inventory Prepaid expenses Total current assets $ 1,160 $ 1,370 9,200 7,700 13,600 12,600 630 540 24,590 22,210 Property and equipment: Land 9,300 9,300 Buildings and equipment, net 48,546 40,818 Total property and equipment 57,846 50,118 $ $ Total assets 82,436 72,328 Liabilities and Stockholders' Equity Current liabilities: $ $ Accounts payable 19,300 17,500 Accrued liabilities 990 740 Notes payable, short term 160 160 Total current liabilities 20,450 18,400 Long-term liabilities: Bonds payable 9,200 9,200 Total liabilities 29,650 27,600 Stockholders' equity: Common stock 600 600 Additional paid-in capital 4,000 4,000 Total paid-in capital 4,600 4,600 Retained earnings 48,186 40,128 Total stockholders' equity 52,786 44,728 Total liabilities and stockholders' $ $ equity 82,436 72,328
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