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Comparative financial statements for Weller Corporation, a merchandising company, for the year ending December 3 1 appear below. The company did not issue any common

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 $0.75 last year and $0.40 this year. The market value of the companys common stock at the end of this year was $27. All of the companys sales are on account.
Weller Corporation
Comparative Balance Sheet
(dollars in thousands)
This Year Last Year
Assets
Current assets:
Cash $ 1,130 $ 1,300
Accounts receivable, net 10,1007,100
Inventory 13,20012,400
Prepaid expenses 640540
Total current assets 25,07021,340
Property and equipment:
Land 9,9009,900
Buildings and equipment, net 44,32337,174
Total property and equipment 54,22347,074
Total assets $ 79,293 $ 68,414
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable $ 19,000 $ 18,200
Accrued liabilities 990820
Notes payable, short term 240240
Total current liabilities 20,23019,260
Long-term liabilities:
Bonds payable 8,1008,100
Total liabilities 28,33027,360
Stockholders' equity:
Common stock 700700
Additional paid-in capital 4,0004,000
Total paid-in capital 4,7004,700
Retained earnings 46,26336,354
Total stockholders' equity 50,96341,054
Total liabilities and stockholders' equity $ 79,293 $ 68,414
Weller Corporation
Comparative Income Statement and Reconciliation
(dollars in thousands)
This Year Last Year
Sales $ 70,000 $ 65,000
Cost of goods sold 34,00038,000
Gross margin 36,00027,000
Selling and administrative expenses:
Selling expenses 10,80010,000
Administrative expenses 7,0006,700
Total selling and administrative expenses 17,80016,700
Net operating income 18,20010,300
Interest expense 810810
Net income before taxes 17,3909,490
Income taxes 6,9563,796
Net income 10,4345,694
Dividends to common stockholders 525280
Net income added to retained earnings 9,9095,414
Beginning retained earnings 36,35430,940
Ending retained earnings $ 46,263 $ 36,354
Required:
Compute the following financial data and ratios for this year:
Working capital.
Note: Enter your answer in thousands.
Current ratio.
Note: Round your answer to 2 decimal places.
Acid-test ratio.
Note: Round your answer to 2 decimal places.

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