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 $22. All of the companys sales are on account.

Weller Corporation Comparative Balance Sheet (dollars in thousands)
	This Year			Last Year
Assets
Current assets:
Cash	$	1,120		$	1,400
Accounts receivable, net		10,900			6,900
Inventory		13,900			11,300
Prepaid expenses		650			550
Total current assets		26,570			20,150
Property and equipment:
Land		9,500			9,500
Buildings and equipment, net		48,994			42,862
Total property and equipment		58,494			52,362
Total assets	$	85,064		$	72,512
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$	19,600		$	18,800
Accrued liabilities		1,040			710
Notes payable, short term		0			230
Total current liabilities		20,640			19,740
Long-term liabilities:
Bonds payable		8,800			8,800
Total liabilities		29,440			28,540
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		49,624			37,972
Total stockholders' equity		55,624			43,972
Total liabilities and stockholders' equity	$	85,064		$	72,512

Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands)
	This Year			Last Year
Sales	$	75,000		$	64,000
Cost of goods sold		37,000			34,000
Gross margin		38,000			30,000
Selling and administrative expenses:
Selling expenses		10,600			10,800
Administrative expenses		6,700			6,100
Total selling and administrative expenses		17,300			16,900
Net operating income		20,700			13,100
Interest expense		880			880
Net income before taxes		19,820			12,220
Income taxes		7,928			4,888
Net income		11,892			7,332
Dividends to common stockholders		240			600
Net income added to retained earnings		11,652			6,732
Beginning retained earnings		37,972			31,240
Ending retained earnings	$	49,624		$	37,972

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.)