A corporation has $800,000 of debt outstanding, and it pays an interest rate of 5 percent annually on its bank loan. The firm's annual sales are $3,200,000; its average tax rate is 40 percent; and its net profit margin on sales is 6 percent. If the company does not maintain a times interest earned (TIE) ratio of at least 4 times, its bank will refuse to renew its loan, and bankruptcy will result. What is this firm's current TIE ratio?

• A. 6 times
• B. 13 times
• C. 8 times
• D. 9 times
• E. 4 times