Comparative financial statements for Weller Corporation, a merchandising company, for the fiscal year ending December 31 appear below. The company did not issue any new common stock during the year. A total of 500,000 shares of common stock were outstanding. The interest rate on the bonds, which were sold at their face value, was 10%. The income tax rate was 40%, and the dividend per share of common stock was $0.50. The market value of the companys common stock at the end of the year was $20. All of the companys sales are on account.

Comparative financial statements for Weller Corporation, a merchandising company, for the fiscal year ending December 31 appear below. The company did not issue any new common stock during the year. A total of 500,000 shares of common stock were outstanding. The interest rate on the bonds, which were sold at their face value, was 10%. The income tax rate was 40%, and the dividend per share of common stock was $0.50. The market value of the company's common stock at the end of the year was $20. All of the company's sales are on account. Weller Corporation Comparative Balance Sheet (dollars in thousands) This Year Last Year Assets Current assets: 1,250 1,370 Cash Accounts receivable, net 9,700 8,500 Inventory 13,900 12,500 Prepaid expenses 670 680 25,520 23,050 Total current assets Property and equipment: Land 9,500 9,500 Buildings and equipment, net 41,080 35,000 Total property and equipment 50,580 44,500 Total assets $76,100 $67,550 Liabilities and Stockholders' Equity Current liabilities: $18,900 $17,700 Accounts payable Accrued liabilities 910 780 Notes payable, short term 250 250 Total current liabilities 20,060 18,730 Long-term liabilities: 8,500 Bonds payable 8,500 Total liabilities 28,560 27,230 Stockholders' equity Common stock 500 500 Additional paid-in capital 4,000 4,000 Total paid-in capital 4,500 4,500 Retained earnings 43,040 35,820 Total stockholders' equity 47,540 40,320 $76,100 $67,550 Total liabilities and stockholders' equity