EXAME N AB B D AaB LOGICID AGD DE D D DE BETERES Styles 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 the year was $30. All of the company's sales are on account. - Weller Corporation Comparative Balance Sheet dollars in thousands) This Year Weller Corporation Comparative Income Statement and Reconciliation ...................(dollars in thousands) This Year Last Year S 74,000 S 65.000 Cost of goods sold 1 39.000 41.000 Gross margin 35,000 24,000 Selling and administrative expenses Selling expenses 10,600 10,000 Administrative expenses 6,900 6,200 Total selling and administrative 1 17.500 16.200 Net operating Income 17.500 ! 7,500 Interest expense 980 16,5206 ,820 Net Income before taxes Income taxes 6.608 2.728 Net income 19,912 4,092 Dividends to common stockholders 300 300 Net income added to retained earnings 9,6123 ,792 34,732 3 0.940 S 44,344 34.732 Last Year Assets 1,280LIS 1,370 9,100 8,000! 13.000 12,600 7205501 4,100 22,920 2 HI Beginning retained earnings Ending retained earnings 10,800 10,800 44,224 L 34,532 55,024 4 5,332 79,124 S 68.252 TIT 5 Cash Accounts receivable, net Inventory Prepaid expenses Total current assets Property and equipment: Land Buildings and equipment, net Total property and equipment Total assets Liabilities and Stockholders' Equity Current liabilities: Accounts payable Accrued liabilities Notes payable, short term Total current abilities 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 Required: S 19.100 1,050 T230 T 20330 IS 18,000 890 L 230 1 9 120 Compute the following financial data and ratios for this year: 1. Working capital (Enter answer in thousands) 2. Current ratio. (Round your answer to 2 decimal plates) niwer to 2 decimal places) 3. Acid test ratio. (Round your answer to 2 decimal places) 9,800 30.180 9,800 20.920 6001 44,344 48.944 79,124 4600 34,732 3 9,332 S 68,252