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 970,000 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 50.40 this year. The market value of the company's common stock at the end of the year was $26.50. 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 $ 3,302 $ 4,230 Accounts receivable, net 16,100 9,100 Inventory 10,550 8,880 Prepaid expenses 1,970 2,440 Total current assets 31,922 24,650 Property and equipment: Land 7,700 7,700 Buildings and equipment, net 20,900 20,700 Total property and equipment 28,600 28,400 Total assets $60,522 $53,050 $11,200 940 470 S 9,150 1,550 470 12,610 11,170 7,500 7,500 Liabilities and Stockholders' Equity Current liabilities: 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 20,110 18,670 970 5,050 970 5,050 6,020 34,392 6,020 28,360 40,412 34,380 Total liabilities and stockholders' equity $60,522 $53,050 Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands) This Year Last Year Sales $96,000 $91,000 Cost of goods sold 60,500 56,500 Gross margin 35,500 34,500 10,200 13,700 9,700 12,700 23,900 22,400 11,600 900 12,100 900 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 4,280 11,200 4,480 6,420 388 6,720 679 6,032 28,360 6,041 22,319 $34,392 $28,360 Required: Compute the following financial data for this year: 1. Earnings per share. (Round your answer to 2 decimal places.) Earnings per share 2. Price-earnings ratio. (Round your intermediate calculations and final answer to 2 decimal places.) Price-earnings ratio 3. Dividend payout ratio. (Round your intermediate calculations and final answer to 2 decimal places.) Dividend payout ratio % 4. Dividend yield ratio. (Round your intermediate calculations and final answer to 2 decimal places.) Dividend yield ratio % 5. Book value per share. (Round your answer to 2 decimal places.) Book value per share
