Comparative financial statements for Weller Corporation, a merchandising company, for the year ending December $31$ appear below. The company did not issue any 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 $$0\mathrm{.}75$ last year and $$0\mathrm{.}40$ this year. The market value of the company$$s common stock at the end of this year was $$25.$ All of the company$$s sales are on account.

Weller Corporation

Comparative Balance Sheet

$($dollars in thousands$)$

This Year Last Year

Assets

Current assets:

Cash $ $1,180$ $ $1,350$

Accounts receivable, net $10,5007,200$

Inventory $12,20011,800$

Prepaid expenses $650680$

Total current assets $24,53021,030$

Property and equipment:

Land $9,2009,200$

Buildings and equipment, net $43,14738,416$

Total property and equipment $52,34747,616$

Total assets $ $76,877$ $ $68,646$

Liabilities and Stockholders' Equity

Current liabilities:

Accounts payable $ $20,100$ $ $18,800$

Accrued liabilities $1,000780$

Notes payable, short term $250250$

Total current liabilities $21,35019,830$

Long$-$term liabilities:

Bonds payable $9,4009,400$

Total liabilities $30,75029,230$

Stockholders' equity:

Common stock $700700$

Additional paid$-$in capital $4,0004,000$

Total paid$-$in capital $4,7004,700$

Retained earnings $41,42734,716$

Total stockholders' equity $46,12739,416$

Total liabilities and stockholders' equity $ $76,877$ $ $68,646$

Weller Corporation

Comparative Income Statement and Reconciliation

$($dollars in thousands$)$

This Year Last Year

Sales $ $69,000$ $ $66,000$

Cost of goods sold $38,00042,000$

Gross margin $31,00024,000$

Selling and administrative expenses:

Selling expenses $11,00010,200$

Administrative expenses $7,0006,100$

Total selling and administrative expenses $18,00016,300$

Net operating income $13,0007,700$

Interest expense $940940$

Net income before taxes $12,0606,760$

Income taxes $4,8242,704$

Net income $7,2364,056$

Dividends to common stockholders $525280$

Net income added to retained earnings $6,7113,776$

Beginning retained earnings $34,71630,940$

Ending retained earnings $ $41,427$ $ $34,716$

Required:

Compute the following financial data and ratios for this year:

$1.$ Working capital.

$2.$ Current ratio.

$3.$ Acid$-$test ratio.