A company's assets consist of $64,783 of cash, $106,743 of accounts receivable, $264,476 of inventory, and $845,982 of plant and equipment. Its liabilities consist of $58,432 of accounts payable, $23,876 of accruals, and $648,423 of long-term debt. The company's annual sales are $1,578,993, its earnings before interest and taxes are $157,899, it paid $58,358 of interest, and its tax rate is 30%. What is the company's basic earning power ratio? 1) 12.3% 2) 11.5% 3) 11.9% 4) 10.8% 5) 10.2%