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 company's common stock at the end of this year was $24. All of the company's sales are on account. Weller Corporation Comparative Balance Sheet (dollars in thousands) This Year Last Year $ 1,120 10,700 12,800 690 25, 310 $ 1,210 7,500 10,700 590 20,000 9,900 44,268 54,168 $ 79,478 9,900 40,334 50,234 $ 70,234 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 $ 18,500 930 $ 19,400 830 200 20,430 19,430 9,600 29,030 9,600 30,030 2,000 4,000 6,000 44,448 50,448 $ 79,478 2,000 4,000 6,000 34,204 40, 204 $ 70,234 Last Year $ 65,000 41,000 24,000 Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands) This Year Sales $ 75,000 Cost of goods sold 38,000 Gross margin 37,000 Selling and administrative expenses: Selling expenses 11,400 Administrative expenses 7,100 Total selling and administrative expenses 18,500 Net operating income 18,500 Interest expense 960 Net income before taxes 17,540 Income taxes 7,016 Net income 10,524 Dividends to common stockholders 280 Net income added to retained earnings 10, 244 Beginning retained earnings 34,204 Ending retained earnings $ 44,448 10,500 6,100 16,600 7,400 960 6,440 2,576 3,864 700 3,164 31,040 $ 34,204 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