Pre-Built Problems Saved Help Save & Exit Check my 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 this year was $28. All of the company's sales are on account. Weller Corporation Comparative Balance Sheet (dollars in thousands) This Year Last Year $ 1,140 9,900 13,300 760 25,100 $ 1,300 7,700 12,300 690 21,990 10,700 45, 240 55,940 $81,040 10,700 34,888 45,588 $67,578 Assets Current assets: 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 liabilities 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 $20,500 1,000 110 21,610 $17,900 770 110 18,780 9, 200 30,810 9,200 27,980 600 4,000 4,600 45,630 50,230 $81,040 600 4,000 4,600 34,998 39,598 $67,578 Pre-Built Problems Saved Help Save & Exit Check my Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands) This Year Last Year Sales $82, 720 $65,000 Cost of goods sold 46,080 39,000 Gross margin 36,640 26,000 Selling and administrative expenses: Selling expenses 11,000 10, 100 Administrative expenses 6,600 6,800 Total selling and administrative expenses 17,600 16,900 Net operating income 19,040 9, 100 Interest expense 920 920 Net income before taxes 18, 120 8, 180 Income taxes 7, 248 3,272 Net income 10,872 4,908 Dividends to common stockholders 240 450 Net income added to retained earnings 10,632 4,458 Beginning retained earnings 34,998 30,540 Ending retained earnings $45,630 $34,998 Required: Compute the following financial data for this 1. Accounts receivable turnover. (Assume that all sales are on account.) (Round your answer to 2 decimal places.) 2. Average collection period. (Use 365 days in a year. Round your intermediate calculations and final answer to 2 decimal places.) 3. Inventory turnover. (Round your answer to 2 decimal places.) 4. Average sale period. (Use 365 days in a year. Round your intermediate calculations and final answer to 2 decimal places.) 5. Operating cycle. (Round your intermediate calculations and final answer to 2 decimal places.) 6. Total asset turnover. (Round your answer to 2 decimal places.) days 1. Accounts receivable turnover 2. Average collection period 3. Inventory turnover . A