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 820,000 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 companys common stock at the end of this year was $19. All of the companys sales are on account.

Weller Corporation Comparative Balance Sheet (dollars in thousands) This YearLast YearAssets Current assets: Cash$ 3,812$ 3,980Accounts receivable, net12,5009,200Inventory9,8008,280Prepaid expenses1,8202,140Total current assets27,93223,600Property and equipment: Land6,2006,200Buildings and equipment, net19,40019,200Total property and equipment25,60025,400Total assets$ 53,532$ 49,000Liabilities and Stockholders' Equity Current liabilities: Accounts payable$ 9,700$ 8,400Accrued liabilities640800Notes payable, short term320320Total current liabilities10,6609,520Long-term liabilities: Bonds payable7,5007,500Total liabilities18,16017,020Stockholders' equity: Common stock820820Additional paid-in capital4,3004,300Total paid-in capital5,1205,120Retained earnings30,25226,860Total stockholders' equity35,37231,980Total liabilities and stockholders' equity$ 53,532$ 49,000

Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands) This YearLast YearSales$ 81,000$ 76,000Cost of goods sold53,00049,000Gross margin28,00027,000Selling and administrative expenses: Selling expenses8,7008,200Administrative expenses12,20011,200Total selling and administrative expenses20,90019,400Net operating income7,1007,600Interest expense900900Net income before taxes6,2006,700Income taxes2,4802,680Net income3,7204,020Dividends to common stockholders328656Net income added to retained earnings3,3923,364Beginning retained earnings26,86023,496Ending retained earnings$ 30,252$ 26,860

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).)