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ACTIVW 2 Comparative financial statements for Heritage Antiquing Services for the fiscal year ending December 31 appear on the following page. The company did not issue any new common or preferred 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. The market value of the company's common stock at the end of the year was $26. All of the company's sales are on account. Mening even comparativ al het dollars in the sand tha Last Year Year Assata Current St Canh 1.000 1.210 Accounts receivable.net 9,000 6.500 Inventory 12,000 10,600 Prepaid expen 600 500 Total current siste 22,600 1,10 Property and equipment Land 5.000 9.000 Buliding and equipment, net 36.800 38.000 Total property and equipment 45.000 67.000 Total ots 6,400 665,0 Liabilities and stockholders quity cart listesi Accounts payable 0-10,500 $17,400 Meron payables 900 900 Notes payabile, short tem 100 Total current list 19.400 18,200 Long-term liabilities Sonde payable 3.000 .000 Total liabilities 27,400 26.200 toeholder equity Perred toek 1.000 1.000 Connon stock 2.000 2.000 Additional paid in capital 9.900 Total paid.in capital 7.000 7,000 Betained earnings 34.000 12.610 Total stockholders wity 41.000 39.610 Me HI 2 Comparative financial statements for Heritage Antiquing Services for the fiscal year ending December 31 appear on the following page. The company did not issue any new common or preferred 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. The market value of the company's common stock at the end of the year was $26. All of the company's sales are on account. eBook rences Itage Antiquis Bervices comparative Balance Sheet dollars in thousande) this Laat YOR Year Assets Current Art Caah $ 1,080 $1,210 Accounts receivable, bet 9.000 6.500 Inventory 12,000 20,600 Prepaid expenses 600 500 Total current asta 22, 680 18,810 Deoperty and equipment Land 9.000 9,000 Buildings and equipment 36.000 38,000 Total operty and equipment 65.300 47.000 5.68, 480 865,810 Total ansat Liabilities and Stockholders' Equity Current liabilities Accounts payable $18.500 $17.400 Accrued payables 700 Botes payable, short term 100 Total current liabilities 10.200 Long-term liabilities: Bonds payable 8,000 8.000 27,400 26.200 Total liabilities Stockholders' equity Preferred took 1,000 1,000 Common stock 2,000 2,000 Additional paid-in capital 4.000 4,000 Total paid-in capital 7.000 7,000 Retained earning 34,080 32,610 42,080 Total atockholders' equity 39.610 $ 68,480065, 010 Total handlet erhale 900 19.400 Saved Activity Ratios 2 eBook References Heritage Antiquing Service Comparative Income Statement and Reconciliation dollars in thousands) This Lant Year Year Sales $ 66,000 $ 64,000 Coat of goods sold 43,000 42.000 Gross margin 23,000 22.000 Selling and administrative expenses: Selling expenses 11,500 11,000 Administrative expenses 7,400 7.000 Total selling and administrative expenses 18,900 18,000 Net operating income 4,100 4,000 Interest expense 800 800 Net income beEore taxes 3,300 3,200 Income taxes 1,320 1.280 Net Income 1,980 1.920 Dividends to preferred stockholders 60 400 Net income remaining for common stockholders 1.920 1,520 Dividends to common stockholders 450 450 Net income added to retained earnings 1.470 1,070 Retained earnings, beginning of year 32,610 31,540 Retained earnings, end of year $ 34,080 $32,610 Required: Compute the following financial data for short-term creditors for this year: 1. Accounts receivable turnover. (Round your answer to 1 decimal place.) Accounts receivable turnover

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