2017 2016 2015 At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable secured by mortgages on plant assets Common stock, $10 par value Retained earnings Total liabilities and equity $ 35,006 $ 41,332 $ 40,952 102,483 72,331 57,389 126,275 93,669 59,938 11,615 10,958 4,550 323,935 298,360 259,271 $599,314 $516,650 $422, 100 $147,737 $ 89,933 $ 57,389 111,544 115,265 91,418 162,500 162,500 162,500 177,533 148,952 110,793 $599,314 $516,650 $422, 100 The company's income statements for the years ended December 31, 2017 and 2016, follow. For Year Ended December 31 Sales Cost of goods sold Other operating expenses Interest expense Income taxes Total costs and expenses Net income Earnings per share 2017 $779, 108 $475, 256 241,523 13, 245 10,128 740, 152 $ 38,956 2016 $ 614,814 $399,629 155,548 14,141 9,222 578,540 $ 36, 274 $ 2.40 $ 2.23 Calculate the company's long-term risk and capital structure positions at the end of 2017 and 2016 by computing the following ratios. (1) Debt and equity ratios. Debt Ratio Choose Numerator: | Choose Denominator: II Debt Ratio Debt ratio 2017: = % 2016: = % Equity Ratio Choose Numerator: | Choose Denominator: Equity Ratio Equity ratio II 2017: % 2016: II % (2) Debt-to-equity ratio. Debt-To-Equity Ratio Choose Denominator: Choose Numerator: Debt-To-Equity Ratio Debt-to-equity ratio to 1 1 1 / 2017: II 2016: II to 1 (3) Times interest earned. Times Interest Earned Choose Numerator: Choose Denominator: Times Interest Earned Times interest earned 2017: times 1 / 2016: times