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 700,000 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 $0.75 last year and $0.40 this year. The market value of the companys common stock at the end of the year was $28. All of the companys sales are on account.

Weller Corporation Comparative Balance Sheet (dollars in thousands)

This Year

Last Year

Assets

Current assets:

Cash

$

1,190

$

1,360

Accounts receivable, net

9,500

7,900

Inventory

13,100

10,600

Prepaid expenses

740

560

Total current assets

24,530

20,420

Property and equipment:

Land

10,900

10,900

Buildings and equipment, net

45,093

37,599

Total property and equipment

55,993

48,499

Total assets

$

80,523

$

68,919

Liabilities and Stockholders' Equity

Current liabilities:

Accounts payable

$

19,900

$

17,400

Accrued liabilities

950

860

Notes payable, short term

230

230

Total current liabilities

21,080

18,490

Long-term liabilities:

Bonds payable

9,100

9,100

Total liabilities

30,180

27,590

Stockholders' equity:

Common stock

700

700

Additional paid-in capital

4,000

4,000

Total paid-in capital

4,700

4,700

Retained earnings

45,643

36,629

Total stockholders' equity

50,343

41,329

Total liabilities and stockholders' equity

$

80,523

$

68,919

Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands)
	This Year			Last Year
Sales	$	67,000		$	65,000
Cost of goods sold		33,000			36,000
Gross margin		34,000			29,000
Selling and administrative expenses:
Selling expenses		10,800			10,400
Administrative expenses		6,800			7,000
Total selling and administrative expenses		17,600			17,400
Net operating income		16,400			11,600
Interest expense		910			910
Net income before taxes		15,490			10,690
Income taxes		6,196			4,276
Net income		9,294			6,414
Dividends to common stockholders		280			525
Net income added to retained earnings		9,014			5,889
Beginning retained earnings		36,629			30,740
Ending retained earnings	$	45,643		$	36,629

Required:

Compute the following financial data and ratios for this year:

part1.

Working capital. (Enter your answer in thousands)

part2.

Current ratio. (Round your answer to 2 decimal places.)

part3.

Acid-test ratio. (Round your answer to 2 decimal places.)