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 this year was $28. All of the company's sales are on account. Weller Corporation Comparative Balance Sheet (dollars in thousands) This Year Last Year $ 1,150 10,600 12,500 690 24,940 $ 1,250 7,500 11,500 530 20,780 10,400 44,958 55,358 $ 80,298 10,400 38,634 49,034 $ 69,814 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 $ 20,500 970 0 21, 470 $ 18, 400 860 250 19,510 9,600 31,070 9,600 29, 110 2,000 4,000 6,000 43, 228 49,228 $ 80, 298 2,000 4,000 6,000 34,704 40,704 $ 69,814 Weller Corporation Last Year $ 64,000 39,000 25,000 Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands) This Year Sales $ 72,000 Cost of goods sold 39,000 Gross margin 33,000 Selling and administrative expenses: Selling expenses 11,000 Administrative expenses 6,500 Total selling and administrative expenses 17,500 Net operating income 15,500 Interest expense 960 Net income before taxes 14,540 Income taxes 5,816 Net income 8,724 Dividends to common stockholders 200 Net income added to retained earnings 8,524 Beginning retained earnings 34,704 Ending retained earnings $ 43,228 10,100 7,000 17,100 7,900 960 6,940 2,776 4,164 500 3,664 31,040 $ 34,704 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.) 1. Times interest earned ratio 2. Debt-to-equity ratio 3. Equity multiplier