Comparative financial statements for Weller Corporation for the fiscal year ending December 31 appear below....
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Accounting
Comparative financial statements for Weller Corporation for the fiscal year ending December 31 appear below. The company did not issue any new common or preferred 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 $0.25. The market value of the company's common stock at the end of the year was $18. All of the company's sales are on account.
Compute the the following financial ratios for short-term creditors for this year:
(b)
Current ratio.
(c)
Acid-test ratio.
(d)
Accounts receivable turnover. (Assume that all sales are on account.)
(e)
Average collection period
(f)
Inventory turnover.
(g)
Average sale period.
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