Exercise 16-5 (Algo) Financial Ratios for Assessing Profitability [LO16-5] 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 840,000 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 company's common stock at the end of this year was $20. All of the company's sales are on account. Weller Corporation Comparative Balance Sheet (dollars in thousands) Assets Current assets: Canh 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 liabilities Long-term Liabilities: This Year Last Year $ 6,344 $ 6,400 12,700 9,300 9,900 8,360 1,840 2,180 30,784 26,240 6,400 6,400 19,600 19,400 26,000 25,800 $ 56,784 $ 52,040 $ 9,900 $ 8,500 680 900 340 340 10,920 9,740 10,000 10,000 Total liabilities 20,920 19,740 Stockholders' equity Common stock 840 Additional paid-in capital 4,400 840 4,400 tal neid in manist 340 Bonds payable