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 $930,000$ 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 $$0\mathrm{.}75$ last year and $$0\mathrm{.}40$ this year. The market value of the company$$s common stock at the end of this year was $$24.$ 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 $ $4,038$ $ $4,140$

Accounts receivable, net $15,70010,400$

Inventory $10,3508,720$

Prepaid expenses $1,9302,360$

Total current assets $32,01825,620$

Property and equipment:

Land $7,3007,300$

Buildings and equipment, net $20,50020,300$

Total property and equipment $27,80027,600$

Total assets $ $59,818$ $ $53,220$

Liabilities and Stockholders' Equity

Current liabilities:

Accounts payable $ $10,800$ $ $8,950$

Accrued liabilities $8601,350$

Notes payable, short term $430430$

Total current liabilities $12,09010,730$

Long$-$term liabilities:

Bonds payable $8,7508,750$

Total liabilities $20,84019,480$

Stockholders' equity:

Common stock $930930$

Additional paid$-$in capital $4,8504,850$

Total paid$-$in capital $5,7805,780$

Retained earnings $33,19827,960$

Total stockholders' equity $38,97833,740$

Total liabilities and stockholders' equity $ $59,818$ $ $53,220$

Weller Corporation

Comparative Income Statement and Reconciliation

$($dollars in thousands$)$

This Year Last Year

Sales $ $92,000$ $ $87,000$

Cost of goods sold $58,50054,500$

Gross margin $33,50032,500$

Selling and administrative expenses:

Selling expenses $9,8009,300$

Administrative expenses $13,30012,300$

Total selling and administrative expenses $23,10021,600$

Net operating income $10,40010,900$

Interest expense $1,0501,050$

Net income before taxes $9,3509,850$

Income taxes $3,7403,940$

Net income $5,6105,910$

Dividends to common stockholders $372744$

Net income added to retained earnings $5,2385,166$

Beginning retained earnings $27,96022,794$

Ending retained earnings $ $33,198$ $ $27,960$

Required:

Compute the following financial data for this year:

$1.$ Gross margin percentage. $($Round your percentage answer to $1$ decimal place $($i$.$e$.,0\mathrm{.}1234$ should be entered as $12\mathrm{.}3).)$

$2.$ Net profit margin percentage. $($Round your percentage answer to $1$ decimal place $($i$.$e$.,0\mathrm{.}1234$ should be entered as $12\mathrm{.}3).)$

$3.$ Return on total assets. $($Round your percentage answer to $1$ decimal place $($i$.$e$.,0\mathrm{.}1234$ should be entered as $12\mathrm{.}3).)$

$4.$ Return on equity. $($Round your percentage answer to $2$ decimal places $($i$.$e$.,0\mathrm{.}1234$ should be entered as $12\mathrm{.}34).)$Required:

Compute the following financial data for this year:

Gross margin percentage. $($Round your percentage answer to $1$ decimal place $($i$.$e$.,0\mathrm{.}1234$ should be entered as $12\mathrm{.}3).)$

Net profit margin percentage. $($Round your percentage answer to $1$ decimal place $($i$.$e$.,0\mathrm{.}1234$ should be entered as $12\mathrm{.}3).)$

Return on total assets. $($Round your percentage answer to $1$ decimal place $($i$.$e$.,0\mathrm{.}1234$ should be entered as $12\mathrm{.}3).)$

Return on equity. $($Round your percentage answer to $2$ decimal places $($i$.$e$.,0\mathrm{.}1234$ should be entered as $12\mathrm{.}34).)$