Pepper Company provided the incomplete financial statements shown below as well as the following additional information:

1. All sales during the year were on account.
2. There was no change in the number of shares of common stock outstanding during the year.
3. The interest expense on the income statement relates to the bonds payable; the amount of bonds outstanding did not change during the year.
4. Selected balances at the beginning of the current year were:

Accounts receivable	$	350,000
Inventory	$	460,000
Total assets	$	2,560,000

e. Selected financial ratios computed from the statements below for the current year are:

Earnings per share	$	5.76
Debt-to-equity ratio		0.920
Accounts receivable turnover		16.0
Current ratio		2.20
Return on total assets		10	%
Times interest earned ratio		10.0
Acid-test ratio		1.20
Inventory turnover		9.0

Required:

Compute the missing amounts on the company's financial statements. (Hint: Whats the difference between the acid-test ratio and the current ratio?) (Do not round intermediate calculations.)

Pepper Industries
Income Statement
For the Year Ended March 31
Sales	$4,900,000
Cost of goods sold
Gross margin	66
Selling and administrative expenses	66
Net operating income	77
Interest expense	64,000
Net income before taxes
Income taxes (40%)	6,000
Net income

Pepper Industries
Balance Sheet
March 31
Current assets:
Cash
Accounts receivable, net
Inventory	33
Total current assets
Plant and equipment, net
Total assets
Liabilities:
Current liabilities	$280,000
Bonds payable, 10%
Total liabilities
Stockholders equity:
Common stock, $2.90 par value
Retained earnings
Total stockholders equity
Total liabilities and stockholders' equity

NOTE: 4 boxes will not be able to calculate correctly: Net Operating Income, Net Income before Taxes, Income Taxes, Net Income. Your balance sheet will not balance. Try your best with the information you are given please.