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 810,000 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 $18.50. All of the company's sales are on account. Weller Corporation Comparative Balance Sheet (dollars in thousandu) This Year Last Year $ 2,546 12,400 9,750 1,810 26,506 $ 2,770 9.150 8,240 2,120 22,290 Assets Current assetst Cash Accounts receivable, det Inventory Prepaid expenses Total current assets Property and equipment Land Hualdings and equipment, net Total property and equipment Total assets Liabilities and Stockholders' Equity Current liabilities: Accounts payable Accrued liabilities Noten payable, short term Total current liabilities Long-term liabilities Bonds payable Total liabilities Stockholders equitv 6,100 19,300 25.400 $ 51,906 6,100 19,100 25,200 $.47,480 $ 9,600 620 310 10.530 $ 8,350 750 310 9.410 6,250 16.780 6.250 15,660 $ 9,600 620 310 10,530 $ 8,350 750 310 9,410 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 6,250 16,780 6,250 15,660 810 4,250 5,060 30,066 35, 126 $ 51,906 810 4,250 5,060 26,760 31,820 $ 47, 480 Last Year $ 75,000 48,500 26.500 Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousand) This Year Sales $ 80,000 Cont of goods nold 52,500 Gross margin 27,500 Selling and administrative expenses Selling expenses 8,600 administrative expenses 12,100 Total selling and administrative expenses 20,200 Net operating income 6,800 Interest expense 750 Net Income before taxes 6,050 Income taxe 2, 420 Not income 3,630 Dividend to common stockholders 324 Net Income added to retained earnings 3,306 Teginning retained ning 26.760 8,100 11,100 19,200 7,300 750 6.550 2.620 3,930 648 3,202 23.478 Administrative expenses Total selling and administrative expenses Net operating income Interest expense Net income before taxes Income taxes Not income Dividends to common stockholders Net income added to retained earnings Beginning retained earnings Ending retained earnings 12,100 20,700 6,800 750 6,050 2,420 3,630 324 3,306 26,760 $ 30,066 -- 11,100 19,200 7.300 750 6,550 2,620 3,930 648 3,282 23,478 $ 26,760 Required: Compute the following financial data for this year: 1. Earnings per share. (Round your answer to 2 decimal places.) 2. Price-earnings ratio (Round your intermediate calculations and final answer to 2 decimal places.) 3. Dividend payout ratio. (Round your intermediate calculations and final answer to 2 decimal places.) 4. Dividend yield ratio. (Round your intermediate calculations and final answer to 2 decimal places.) 5. Book value per share. (Round your answer to 2 decimal places.) 1. Earnings per share 2. Price-earnings ratio 3. Dividend payout ratio 4. Dividend yield ratio 5. Book value per share % %
