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 700,000 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 $26. All of the companys sales are on account.

Weller Corporation Comparative Balance Sheet (dollars in thousands)
	This Year	Last Year
Assets
Current assets:
Cash	$ 1,250	$ 1,340
Accounts receivable, net	10,000	8,300
Inventory	12,500	12,400
Prepaid expenses	700	690
Total current assets	24,450	22,730
Property and equipment:
Land	10,000	10,000
Buildings and equipment, net	44,509	40,037
Total property and equipment	54,509	50,037
Total assets	$ 78,959	$ 72,767
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$ 19,400	$ 19,000
Accrued liabilities	1,060	850
Notes payable, short term	0	180
Total current liabilities	20,460	20,030
Long-term liabilities:
Bonds payable	8,300	8,300
Total liabilities	28,760	28,330
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	44,199	38,437
Total stockholders' equity	50,199	44,437
Total liabilities and stockholders' equity	$ 78,959	$ 72,767

Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands)
	This Year	Last Year
Sales	$ 66,000	$ 66,000
Cost of goods sold	37,000	36,000
Gross margin	29,000	30,000
Selling and administrative expenses:
Selling expenses	10,700	10,700
Administrative expenses	7,400	6,100
Total selling and administrative expenses	18,100	16,800
Net operating income	10,900	13,200
Interest expense	830	830
Net income before taxes	10,070	12,370
Income taxes	4,028	4,948
Net income	6,042	7,422
Dividends to common stockholders	280	525
Net income added to retained earnings	5,762	6,897
Beginning retained earnings	38,437	31,540
Ending retained earnings	$ 44,199	$ 38,437

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.)