(Analyzing coverageratios) The income statements for HomeDepot, Inc.(HD), spanning the period2014-2016 (just before the housingcrash, so these are representativeyears) are foundhere:

$ thousands 2016 2015 2014

Net operating income (EBIT) $11,774,000 $10,469,000 $9,166,000

Interest expense $(919,000) $(830,000) $(711,000)

Earnings before taxes $10,855,000 $9,639,000 $8,455,000

Income taxes $(4,012,000) $(3,631,000) $(3,082,000)

Net income $6,843,000 $6,008,000 $5,373,000

a. Calculate the times interest earned ratio for each of the years for which you have data.

b. What is your assessment of how thefirm's ability to service its debt obligations has changed over thisperiod?