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 600,000 shares of common stock were outstanding. The interest rate on the bond payable was 10%, 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 $22. All of the company's sales are on account Weller Corporation Comparative Balance Sheet (dollars in thousands) This Year Last Year $ 1,270 9,200 13,800 610 24,880 $ 1,240 7,600 11,500 560 20,900 9,500 47,499 56,999 $81,879 9.500 39,152 48,652 $69,552 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 Acerved liabilities Notes payable, short term Total current liabilities Long-tern liabilities Bonds payable Total liabilitian Stockholders equity! Connon stock Additional paid-in capital Total paid-in capital Retained earnings Total stockholders' equity Total liabilities and stockholders equity $19,100 990 200 20,290 $17,500 BO 200 18,580 9,800 30,090 9.800 28.380 600 4,000 4,600 47,189 51,209 901,979 600 4.000 4,600 36.572 41.172 $69,552 This Year Last Year $78,120 $64,000 41,745 36,000 36,375 28,000 Sales Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses 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 Ending retained earnings 10,700 6,600 17,300 19,075 980 18,095 7,238 10,857 240 10,617 36,572 $47,189 10,400 6,900 17,300 10,700 980 9,720 3,888 5,832 300 5,532 31,040 $36,572 nt cences Required: Compute the following financial data for this year 1. Accounts receivable turnover. (Assume that all sales are on account.) (Round your answer to 2 decimal places.) 2. Average collection period. (Use 365 days in a year. Round your intermediate calculations and final answer to 2 decimal places. 3. Inventory turnover. (Round your answer to 2 decimal places.) 4. Average sale period. (Use 365 days in a year. Round your intermediate calculations and final answer to 2 decimal places.) 5. Operating cycle. (Round your Intermediate calculations and final answer to 2 decimal places.) 6. Total asset turnover. (Round your answer to 2 decimal places.) days 1. Accounts receivable turnover 2. Average collection period 3. Inventory turnover 4. Average sale period 5. Operating cycle 6. Total asset turnover days days ic ETH
