Weller Corporation Comparative Income Statement and Reconciliation is given below

(dollars in thousands)
	This Year			Last Year
Sales	$	96,000		$	91,000
Cost of goods sold		60,500			56,500
Gross margin		35,500			34,500
Selling and administrative expenses:
Selling expenses		10,200			9,700
Administrative expenses		13,700			12,700
Total selling and administrative expenses		23,900			22,400
Net operating income		11,600			12,100
Interest expense		900			900
Net income before taxes		10,700			11,200
Income taxes		4,280			4,480
Net income		6,420			6,720
Dividends to common stockholders		388			776
Net income added to retained earnings		6,032			5,944
Beginning retained earnings		28,360			22,416
Ending retained earnings	$	34,392		$	28,360

Required:

Compute the following financial data for this year:

1. Gross margin percentage.

2. Net profit margin percentage.

3. Return on equity.

Answer rating: 100% (QA)

To compute the financial data for this year well use the information provided in the inco... View the full answer