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 500,000 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 company's common stock at the end of the year was $23. All of the company's sales are on account. Weller Corporation Comparative Balance Sheet (dollars in thousands) This Year Last Year $ 1,130 10,300 12,700 780 24,910 $ 1,320 7,200 11,400 680 20,600 10,400 47,568 57,968 $82,878 10,400 41,784 52,184 $ 72,784 Assets Current assets: Cash Accounts receivable, net Inventory Prepaid expenses Total current assets Property and equipment: Land Buildings and equipment, net Total property and equipment Total assets Liabilities and Stockholders' Equity Current liabilities: Accounts payable Accrued liabilities Notes payable, short term Total current liabilities Long-term liabilities: Bonds payable Total liabilities Stockholders' equity: Common stock Additional paid-in capital Total paid-in capital Retained earnings Total stockholders' equity Total liabilities and stockholders' equity $19,900 1,090 0 20,990 $18,900 800 290 19,990 9,100 30,090 9,100 29,090 2,000 4,000 6,000 46,788 52,788 2,000 4,000 6,000 37, 694 43,694 $ 72,784 $82,878 6.700 Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands) This Year Last Year Sales $ 73,000 $66,000 Cost of goods sold 39,000 36,000 Gross margin 34,000 30,000 Selling and administrative expenses : Selling expenses 10,900 10,100 Administrative expenses 6,400 Total selling and administrative expenses 17,600 16,500 Net operating income 16,400 13,500 Interest expense 910 Net income before taxes 12,590 Income taxes 5,036 Net income 9,294 7,554 Dividends to common stockholders 200 500 Net income added to retained earnings 9,094 7.054 Beginning retained earnings 37, 694 30, 640 Ending retained earnings $46, 788 $37,694 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.)