Question
Pool Corporation is the worlds largest wholesale distributor of swimming pool supplies and equipment. It is a publicly traded corporation which trades on the NASDAQ
Pool Corporation is the worlds largest wholesale distributor of swimming pool supplies and equipment. It is a publicly traded corporation which trades on the NASDAQ exchange under the symbol POOL. It sells these products to swimming pool repair and service businesses like Pennys Pool Service & Supply, swimming pool builders, and retail swimming pool stores. The majority of these customers are small, family-owned businesses like Pennys. Its trial balance and additional information adapted from a recent year ended December 31 are presented below. All numbers are in thousands. |
Cash and cash equivalents | $ | 18,247 | ||
Receivables, net | 111,155 | |||
Product inventories, net | 387,324 | |||
Prepaid expenses and other current assets | 23,215 | |||
Property and equipment, net | 41,686 | |||
Intangible assets | 189,241 | |||
Other noncurrent assets, net | 30,506 | |||
Accounts payable | $ | 177,637 | ||
Accrued expenses and other current liabilities | 53,518 | |||
Current portion of long-term debt | 26 | |||
Long-term debt | 247,700 | |||
Other long-term liabilities | 40,799 | |||
Common stock | 55 | |||
Additional paid-in capital | 173,380 | |||
Retained earnings | 34,646 | |||
Net sales | 1,797,318 | |||
Cost of sales | 1,263,728 | |||
Selling and administrative expenses | 406,743 | |||
Interest expense | 7,795 | |||
Provision for income taxes | 45,439 | |||
$ | 2,525,079 | $ | 2,525,079 | |
a. | Prepare a classified income statement (with earnings per share) for the current year. Number of shares outstanding used in computation of earnings per share was 48,198. (Enter your answers in thousands. Round "Basic earnings per share" to 2 decimal places. |
b. | Prepare a classified balance sheet for the current year. Number of shares outstanding used in computation of earnings per share was 48,198. (Amounts to be deducted should be indicated by a minus sign. Enter your answers in thousands. |
c. | Compute gross profit percentage and return on assets. Total assets at the beginning of the year was $730,545. (Enter your answers in thousands. Round your answers to 1 decimal place.) |
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