7 E13-5 Computing a commonly used Solvency Ratio (LO 13-4, LO 13-5) 3.44 points According to the producer price index database maintained by the Bureau of Labor Statistics, the average cost of computer equipment fell 3.8 percent between January and December 2016. Let's see whether these changes are reflected in the income statement of Computer Tycoon Inc. for the year ended December 31, 2016. eBook det Hint Sales Revenue Cost of Goods Sold Gross Profit Selling, General, and Administrative Expenses Interest Expense Income before Income Tax Expense Income Tax Expense Net Income 2016 $183, eee 61,500 41,500 36,300 53e 4,678 1, ese $ 3,670 2015 $124,500 72,700 51,800 37,600 490 13,710 5,300 $ 8,410 Print Required: References 1. Compute the times interest earned ratios for 2016 and 2015. (Round your answers to 1 decimal place.) Times Interest Earned 2015 2016 2. Does Computer Tycoon generate sufficient net income in both years (before taxes and interest) to cover the cost of debt financing? Yes O No