Balance sheet and income statement data indicate the following: Bonds payable, 10% (due in two years) $870,000 Preferred 5% stock, $100 par (no change during year) 202,000 Common stock, $50 par (no change during year) 1,501,000 Income before income tax for year 374,000 Income tax for year 78,000 Common dividends paid 75,050 Preferred dividends paid 10,100 Based on the data presented, what is the times interest earned ratio (rounded to one decimal place)?

a. 4.3

b. 7.6

c. 5.3

d. 3.3