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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 830,000 shares of common stock were outstanding. The interest rate on the bonds, which were sold at their face value, was 12%. The income tax rate was 40% and the dividend per share of common stock was $0.40 this year. The market value of the companys common stock at the end of the year was $20. All of the companys sales are on account.

Weller Corporation Comparative Balance Sheet (dollars in thousands)
This Year Last Year
Assets
Current assets:
Cash $ 5,078 $ 5,190
Accounts receivable, net 12,600 9,250
Inventory 9,850 8,320
Prepaid expenses 1,830 2,160
Total current assets 29,358 24,920
Property and equipment:
Land 6,300 6,300
Buildings and equipment, net 19,500 19,300
Total property and equipment 25,800 25,600
Total assets $ 55,158 $ 50,520
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable $ 9,800 $ 8,450
Accrued liabilities 660 850
Notes payable, short term 330 330
Total current liabilities 10,790 9,630
Long-term liabilities:
Bonds payable 8,750 8,750
Total liabilities 19,540 18,380
Stockholders' equity:
Common stock 830 830
Additional paid-in capital 4,350 4,350
Total paid-in capital 5,180 5,180
Retained earnings 30,438 26,960
Total stockholders' equity 35,618 32,140
Total liabilities and stockholders' equity $ 55,158 $ 50,520

Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands)
This Year Last Year
Sales $ 82,000 $ 77,000
Cost of goods sold 53,500 49,500
Gross margin 28,500 27,500
Selling and administrative expenses:
Selling expenses 8,800 8,300
Administrative expenses 12,300 11,300
Total selling and administrative expenses 21,100 19,600
Net operating income 7,400 7,900
Interest expense 1,050 1,050
Net income before taxes 6,350 6,850
Income taxes 2,540 2,740
Net income 3,810 4,110
Dividends to common stockholders 332 332
Net income added to retained earnings 3,478 3,778
Beginning retained earnings 26,960 23,182
Ending retained earnings $ 30,438 $ 26,960

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).)

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