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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 common

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 990,000 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 $0.75 last year and $0.40 this year. The market value of the companys common stock at the end of this year was $28. All of the companys sales are on account.

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Weller Corporation Comparative Balance Sheet (dollars in thousands) This Year Last Year $ 5,834 16,300 10,650 1,990 34,774 $ 6,650 9,200 8,960 2,480 27,290 7,900 21,100 29,000 $63,774 7,900 20,900 28,800 $56,090 Assets Current assets: Cash Accounts receivable, net Inventory Prepaid expenses Total current assets Property and equipment: Land Buildings and equipment, net Total property and equipment Total assets Liabilities and Stockholders' Equity Current liabilities: Accounts payable Accrued liabilities Notes payable, short term Total current liabilities Long-term liabilities: Bonds payable Total liabilities Stockholders' equity: Common stock Additional paid-in capital Total paid-in capital Retained earnings Total stockholders' equity Total liabilities and stockholders' equity $11,400 980 490 12,870 $ 9,250 1,650 490 11,390 10,000 22,870 10,000 21,390 990 5,150 6,140 34,764 40,904 $63,774 990 5,150 6,140 28,560 34,700 $56,090 Last Year $93,000 57,500 35,500 Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands) This Year Sales $ 98,000 Cost of goods sold 61,500 Gross margin 36,500 Selling and administrative expenses: Selling expenses 10,400 Administrative expenses 13,900 Total selling and administrative expenses 24,300 Net operating income 12,200 Interest expense 1,200 Net income before taxes 11,000 Income taxes 4,400 Net income 6,600 Dividends to common stockholders 396 Net income added to retained earnings 6, 204 Beginning retained earnings 28,560 Ending retained earnings $34,764 9,900 12,900 22,800 12,700 1,200 11,500 4,600 6,900 792 6,108 22,452 $28,560 Required: Compute the following financial data for this year: 1. Gross margin percentage. (Round your percentage answer to 1 decimal place (i.e., 0.1234 should be entered as 12.3).) 2. Net profit margin percentage. (Round your percentage answer to 1 decimal place (i.e., 0.1234 should be entered as 12.3).) 3. Return on total assets. (Round your percentage answer to 1 decimal place (i.e., 0.1234 should be entered as 12.3).) 4. Return on equity. (Round your percentage answer to 2 decimal places (i.e., 0.1234 should be entered as 12.34).) 1. Gross margin percentage 2. Net profit margin percentage 3. Return on total assets 4. Return on equity % % % %

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