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 840,000 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 company's common stock at the end of this year was $20. All of the company's sales are on account. Weller Corporation Comparative Balance Shent (dollars in thousands) This Year Last Year $ 6,344 12,700 9,900 1.840 30.784 $ 6,400 9.300 8,360 2,180 26,240 Assets Current assets Cash Accounts receivable.net Inventory Prepaid expenses Total current assets Property and equipment Land Hoildings and equipment, net Total property and equipment Total asset Liabilities and Stockholders' Equity Current liabilities Accounts payable Accrued liabilities Notes payable, short term Total current liabilities Long-term liabilities: 6. 400 19.600 26.000 $ 56,784 6,400 19,400 25,800 $ 52,040 $ 9,900 680 340 10,920 $ 3,500 500 340 9.740 $ 9,900 680 340 10,920 $ 8,500 900 340 9,740 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 Ratained earnings Total stockholders' equity Total liabilities and stockholders' equity 10,000 20,920 10,000 19,740 840 4,400 5,240 30, 624 35,864 $ 56,784 840 4,400 5,240 27,060 32,300 $ 52,040 Last Year $ 78,000 50,000 28,000 Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands) This Year Sales $ 83,000 Cost of goods sold 54,000 Gross margin 29,000 Selling and administrative expenses Selling expenses 8,900 Administrative expenses 12.400 Total selling and administrative expenses 21,300 Net operating income 7,700 Interest expense 1,200 Net income before taxes 6,500 Income taxes 2,600 Net income 3,900 Dividends to common stockholders 336 8,400 11,400 19,800 8,200 1,200 7,000 2,800 4,200 672 OL Total selling and administrative expenses Net operating income Interest expense Net Income before taxes Income taxes Net income Dividends to common stockholders Net income added to retained earnings Beginning retained earnings Ending retained earnings 21,300 7,700 1,200 6,500 2,600 3,900 336 3,564 27,060 $ 30,624 19,800 8,200 1,200 7,000 2,800 4,200 672 3,528 23,532 $ 27,060 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 (l.e., 0.1234 should be entered as 12.34).) 1. Gross margin percentage 2. Net profit margin percentage 3. Return on total ossets 4. Return on equity % % % %