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 $24. All of the companys sales are on account.

Weller Corporation Comparative Balance Sheet (dollars in thousands)
	This Year			Last Year
Assets
Current assets:
Cash	$	1,270		$	1,340
Accounts receivable, net		10,400			7,400
Inventory		12,800			12,600
Prepaid expenses		740			540
Total current assets		25,210			21,880
Property and equipment:
Land		9,900			9,900
Buildings and equipment, net		47,948			36,554
Total property and equipment		57,848			46,454
Total assets	$	83,058		$	68,334
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$	19,700		$	17,700
Accrued liabilities		1,020			750
Notes payable, short term		0			140
Total current liabilities		20,720			18,590
Long-term liabilities:
Bonds payable		8,100			8,100
Total liabilities		28,820			26,690
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		48,238			35,644
Total stockholders' equity		54,238			41,644
Total liabilities and stockholders' equity	$	83,058		$	68,334

Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands)
	This Year			Last Year
Sales	$	73,000		$	65,000
Cost of goods sold		33,000			39,000
Gross margin		40,000			26,000
Selling and administrative expenses:
Selling expenses		11,300			10,800
Administrative expenses		6,500			6,300
Total selling and administrative expenses		17,800			17,100
Net operating income		22,200			8,900
Interest expense		810			810
Net income before taxes		21,390			8,090
Income taxes		8,556			3,236
Net income		12,834			4,854
Dividends to common stockholders		240			450
Net income added to retained earnings		12,594			4,404
Beginning retained earnings		35,644			31,240
Ending retained earnings	$	48,238		$	35,644

Required:

Compute the following financial ratios for this year:

1. Times interest earned ratio.

2. Debt-to-equity ratio.

3. Equity multiplier.