Please help me solve 1,2 and 3 on the screen shot. Below are the financial statments. Thank you 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 500,000 shares of common stock were outstanding. The interest rate on the bonds, which were sold at their face value, was 10%. The income tax rate was 40% and the dividend per share of common stock was $0.40 this year. The market value of the company’s common stock at the end of the year was $21. 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 $ 1,110   $ 1,350        Accounts receivable, net   9,600     6,800        Inventory   13,300     11,900        Prepaid expenses   660     500                   Total current assets   24,670     20,550                   Property and equipment:                  Land   10,700     10,700        Buildings and equipment, net   47,341     40,133                   Total property and equipment   58,041     50,833                   Total assets $ 82,711   $ 71,383                   Liabilities and Stockholders' Equity               Current liabilities:                  Accounts payable $ 18,800   $ 19,300        Accrued liabilities   1,040     830        Notes payable, short term   0     230                   Total current liabilities   19,840     20,360     Long-term liabilities:                  Bonds payable   8,200     8,200                   Total liabilities   28,040     28,560                   Stockholders' equity:                  Common stock   2,000     2,000        Additional paid-in capital   4,000     4,000                        Total paid-in capital   6,000     6,000          Retained earnings   48,671     36,823                   Total stockholders' equity   54,671     42,823                   Total liabilities and stockholders' equity $ 82,711   $ 71,383                     Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands)   This Year Last Year   Sales $ 75,000   $ 64,000     Cost of goods sold   36,000     35,000                   Gross margin   39,000     29,000                   Selling and administrative expenses:               Selling expenses   10,800     11,000     Administrative expenses   7,300     6,500                   Total selling and administrative expenses   18,100     17,500                   Net operating income   20,900     11,500     Interest expense   820     820                   Net income before taxes   20,080     10,680     Income taxes   8,032     4,272                   Net income   12,048     6,408     Dividends to common stockholders   200     625                   Net income added to retained earnings   11,848     5,783     Beginning retained earnings   36,823     31,040                   Ending retained earnings $ 48,671   $ 36,823

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Chapter1: Financial Statements And Business Decisions
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Please help me solve 1,2 and 3 on the screen shot. Below are the financial statments. Thank you

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 500,000 shares of common stock were outstanding. The interest rate on the bonds, which were sold at their face value, was 10%. The income tax rate was 40% and the dividend per share of common stock was $0.40 this year. The market value of the company’s common stock at the end of the year was $21. 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 $ 1,110   $ 1,350  
     Accounts receivable, net   9,600     6,800  
     Inventory   13,300     11,900  
     Prepaid expenses   660     500  
             
  Total current assets   24,670     20,550  
             
  Property and equipment:            
     Land   10,700     10,700  
     Buildings and equipment, net   47,341     40,133  
             
  Total property and equipment   58,041     50,833  
             
  Total assets $ 82,711   $ 71,383  
             
  Liabilities and Stockholders' Equity            
  Current liabilities:            
     Accounts payable $ 18,800   $ 19,300  
     Accrued liabilities   1,040     830  
     Notes payable, short term   0     230  
             
  Total current liabilities   19,840     20,360  
  Long-term liabilities:            
     Bonds payable   8,200     8,200  
             
  Total liabilities   28,040     28,560  
             
  Stockholders' equity:            
     Common stock   2,000     2,000  
     Additional paid-in capital   4,000     4,000  
             
       Total paid-in capital   6,000     6,000  
       Retained earnings   48,671     36,823  
             
  Total stockholders' equity   54,671     42,823  
             
  Total liabilities and stockholders' equity $ 82,711   $ 71,383  
             
 

 

Weller Corporation
Comparative Income Statement and Reconciliation
(dollars in thousands)
  This Year Last Year
  Sales $ 75,000   $ 64,000  
  Cost of goods sold   36,000     35,000  
             
  Gross margin   39,000     29,000  
             
  Selling and administrative expenses:            
  Selling expenses   10,800     11,000  
  Administrative expenses   7,300     6,500  
             
  Total selling and administrative expenses   18,100     17,500  
             
  Net operating income   20,900     11,500  
  Interest expense   820     820  
             
  Net income before taxes   20,080     10,680  
  Income taxes   8,032     4,272  
             
  Net income   12,048     6,408  
  Dividends to common stockholders   200     625  
             
  Net income added to retained earnings   11,848     5,783  
  Beginning retained earnings   36,823     31,040  
             
  Ending retained earnings $ 48,671   $ 36,823  
             
 
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