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 920,000 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 the year was $24.00 All of the company's sales are on account. Weller Corporation Comparative Balance Sheet (dollars in thousands) This Year Last Year AssetS Current assets: Cash Accounts receivable, net Inventory Prepaid expenses $2,772 2,930 10,350 8,680 2,340 24, 300 15,600 10,300 1,920 30,592 Total current assets Property and equipment: Land Buildings and equipment, net Total property and equipment Total assets Liabilities and Stockholders Equity 7,200 20,400 27.880 7,200 20,200 27,400 $51,700 $58,192 Current liabilities: Accounts payable $10,700 840 420 11,960 8,900 1,300 420 10,620 Accrued liabilities Notes payable, short term Total current liabilities Long-term liabilities: Bonds payable Total liabilities Stockholders' equity: 7,500 19,460 7,500 18,120 Common stock Additional paid-in capital Total paid-in capital Retained earnings Total stockholders' equity Total liabilities and stockholders equity 920 4,800 5,720 33,012 920 4,800 5,720 27,860 38,73253:368 5813233,580 $58,192 $51,700 Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands) This Year Last Year Sales Cost of goods sold Gross margin Selling and administrative expenses: $91,000 $86,000 54,000 32,000 58,000 3 33 ,000 , Selling expenses 9,200 12,200 21,400 10,600 900 9,700 3,880 5,820 736 5,084 22,776 $27,860 9,700 13,200 5 Administrative expenses 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 22,900 10,100 900 9,200 3,680 5,520 368 5,152 27,860 . Ending retained earnings $33,012 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 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 6.00 4.00 $ 42.10
