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 this year was $24. All of the company's sales 30 are on account Weller Corporation Comparative Balance Sheet (dollars in thousands) This Year Last Year Assets Current assets: Cash $ 1,200 Accounts receivable, net $ 1,120 9,300 12,700 7,100 Inventory 11,100 Prepaid expenses 680 Total current assets 640 23,768 20,160 Property and equipment: Land 9,100 9,100 46,766 40,068 Buildings and equipment, net Total property and equipment Total assets 55,866 49,168 $ 79,626 $69.3208 Total property and equipment Total assets 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 Total liabilities and stockholders' equity Sales Cost of goods sold Gross margin Salline and administrative expenses 55,866 $ 79,626 $ 19,100 980 280 20,360 9,700 30,060 600 4,000 4,600 44,966 49,566 $ 79,626 Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands) This Year $ 72,000 36,000 36,000 49,168 $ 69,328 $ 19,100 878 280 20,250 +9,700 29,950 600 4,000 4,600 34,778 39,378 $ 69,328 Last Year $ 65,000 41,000 24,000 Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands) This Year $ 72,000 36,000 36,000 10,900 6,400 17,300 s 18,700 970 17,730 7,092 10,638 450 10,188 34,778 $ 44,966 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 Required: Compute the following financial data and ratios for this year: 1. Working capital. (Enter your answer in thousands.) Last Year $ 65,000 41,000 24,000 10,000 6,400 16,400 7,600 978 6,630 2,652 3,978 240 3,738 31,040 $ 34,778 Compute the following financial data and ratios for this year: 1. Working capital. (Enter your answer in thousands.) 2. Current ratio. (Round your answer to 2 decimal places.) 3. Acid-test ratio. (Round your answer to 2 decimal places.) 1. Working capital 2. Current ratio 3. Acid-test ratio
