Comparative financial statements for Weller Corporation, a merchandising company, for the year ending December 31 appear below. The company did not issue any new common stock during the year. A total of 600,000 shares of common stock were outstanding. The interest rate on the bond payable was 10%, the income tax rate was 40%, and the dividend per share of common stock was $0.75 last year and $0.40 this year. The market value of the companys common stock at the end of this year was $27. All of the companys sales are on account.

Weller Corporation Comparative Balance Sheet (dollars in thousands)
	This Year			Last Year
Assets
Current assets:
Cash	$	1,090		$	1,250
Accounts receivable, net		9,700			6,900
Inventory		13,700			11,700
Prepaid expenses		720			530
Total current assets		25,210			20,380
Property and equipment:
Land		9,900			9,900
Buildings and equipment, net		52,142			41,796
Total property and equipment		62,042			51,696
Total assets	$	87,252		$	72,076
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$	19,700		$	17,600
Accrued liabilities		920			890
Notes payable, short term		0			160
Total current liabilities		20,620			18,650
Long-term liabilities:
Bonds payable		8,900			8,900
Total liabilities		29,520			27,550
Stockholders' equity:
Common stock		2,000			2,000
Additional paid-in capital		4,000			4,000
Total paid-in capital		6,000			6,000
Retained earnings		51,732			38,526
Total stockholders' equity		57,732			44,526
Total liabilities and stockholders' equity	$	87,252		$	72,076

Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands)
	This Year			Last Year
Sales	$	75,000		$	66,000
Cost of goods sold		34,000			34,000
Gross margin		41,000			32,000
Selling and administrative expenses:
Selling expenses		11,200			10,000
Administrative expenses		6,500			6,800
Total selling and administrative expenses		17,700			16,800
Net operating income		23,300			15,200
Interest expense		890			890
Net income before taxes		22,410			14,310
Income taxes		8,964			5,724
Net income		13,446			8,586
Dividends to common stockholders		240			600
Net income added to retained earnings		13,206			7,986
Beginning retained earnings		38,526			30,540
Ending retained earnings	$	51,732		$	38,526

Required:

Compute the following financial ratios for this year:

1. Times interest earned ratio.

2. Debt-to-equity ratio.

3. Equity multiplier.

(For all requirements, round your answers to 2 decimal places.)