Analysis of Leverage The comparative income statement and balance sheet of Cowan Kitchen Counters, Inc. are shown Cowan Kitchen Counters, Inc. Comparative Income Statement For Years Ended December 31, 20-2 and 20-1 20-2 20-1 $2,584,000 $2,163,000 1,868,200 1,616,800 Net sales (all on account) Cost of goods sold Gross profit Operating expenses Other expense (interest) $546,200 $715,800 315,200 221,800 24,200 Income tax expense 24,200 176,800 $199,600 106,300 Net income $193,900 Cowan Kitchen Counters, Inc. Comparative Balance Sheet December 31, 20-2 and 20-1 20- 2 $255,400 250,000 Cash Government notes 20-1 $243,200 250,000 903,500 Accounts receivable (net) Merchandise inventory Supplies and prepayments 797,500 913,600 983,600 143,200 47,500 Land 108,200 108,200 390,600 Building (net) Office equipment (net) Total assets 330,000 17,700 15,000 $2,991,600 $2,765,600 Current liabilities (accounts payable) Bonds payable $703,000 220,000 $923,000 $532,000 240,000 Total liabilities $772,000 Common stock ($10 par, 180,000 shares) Retained earnings Total stockholders' equity Total liabilities and stockholders' equity $1,800,000 268,600 $2,068,600 $2,991,600 $1,800,000 193,600 $1,993,600 $2,765,600 Compute the following leverage measures for 20-2 (round all calculations to two decimal places). Compute the following leverage measures for 20-2 (round all calculations to two decimal places). a. Debt-to-equity ratio to 1 b. Times interest earned ratio (Bond interest is $24,200.) times c. Assets-to-equity ratio to 1