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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

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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 800,000 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 $18. All of the company's sales are on account Weller Corporation Comparative Balance Sheet dollars in thousands) This Year Last Year Assets Current assets: Cash Accounts receivable, net Inventory Prepaid expenses Total current et Property and equipment: $ 1,20 12.300 9,700 1,800 25,080 $ 1.560 9, 100 8.200 2,100 20,960 6,000 19,200 25,200 $50,280 6,000 19.000 25,000 $45,960 $ 8,300 $ 9.500 600 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 300 10,400 9,300 5,000 15,400 5.000 14,00 4,200 4,200 Comparative Income Statement and Reconciliation (dollars in thousands) This Year Last Year Sales $ 79,000 $ 74,000 Cost of goods sold 52,000 48,000 Gross margin 27,000 26,000 Selling and administrative expenses: Selling expenses 8,500 ,000 Administrative expenses 12,000 11,000 Total selling and administrative expenses 20,500 19,000 Net operating income 6,500 7,000 Interest expense 600 600 Net income before taxes 5,900 6,400 Income taxes 2,360 2,560 Net income 3,540 3.840 Dividends to common stockholders 320 600 Net income added to retained earnings 3, 220 3,240 Beginning retained earnings 26,660 23,420 Ending retained earnings $ 29,880 $26,660 Required: 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 places.) 3. Acid-test ratio. (Round your answer to 2 decimal places.) 1. Working capital 2. Current ratio 3 Acid-test ratio

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