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 $700,000$ 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 $ $1,180$ $ $1,220$

Accounts receivable, net $9,1008,300$

Inventory $13,10011,000$

Prepaid expenses $640640$

Total current assets $24,02021,160$

Property and equipment:

Land $10,50010,500$

Buildings and equipment, net $43,59935,132$

Total property and equipment $54,09945,632$

Total assets $ $78,119$ $ $66,792$

Liabilities and Stockholders' Equity

Current liabilities:

Accounts payable $ $19,900$ $ $18,000$

Accrued liabilities $920730$

Notes payable, short term $120120$

Total current liabilities $20,94018,850$

Long$-$term liabilities:

Bonds payable $8,3008,300$

Total liabilities $29,24027,150$

Stockholders' equity:

Common stock $700700$

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

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

Retained earnings $44,17934,942$

Total stockholders' equity $48,87939,642$

Total liabilities and stockholders' equity $ $78,119$ $ $66,792$

Weller Corporation

Comparative Income Statement and Reconciliation

$($dollars in thousands$)$

This Year Last Year

Sales $ $74,000$ $ $65,000$

Cost of goods sold $39,00041,000$

Gross margin $35,00024,000$

Selling and administrative expenses:

Selling expenses $10,70010,500$

Administrative expenses $7,2006,200$

Total selling and administrative expenses $17,90016,700$

Net operating income $17,1007,300$

Interest expense $830830$

Net income before taxes $16,2706,470$

Income taxes $6,5082,588$

Net income $9,7623,882$

Dividends to common stockholders $525280$

Net income added to retained earnings $9,2373,602$

Beginning retained earnings $34,94231,340$

Ending retained earnings $ $44,179$ $ $34,942$

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.$)$