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 companys common stock at the end of this year was $25. All of the companys sales are on account.

Weller Corporation Comparative Balance Sheet (dollars in thousands)
	This Year	Last Year
Assets
Current assets:
Cash	$ 1,190	$ 1,370
Accounts receivable, net	9,300	7,100
Inventory	13,700	11,300
Prepaid expenses	610	630
Total current assets	24,800	20,400
Property and equipment:
Land	10,800	10,800
Buildings and equipment, net	39,716	38,488
Total property and equipment	50,516	49,288
Total assets	$ 75,316	$ 69,688
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$ 19,900	$ 19,300
Accrued liabilities	1,050	720
Notes payable, short term	0	220
Total current liabilities	20,950	20,240
Long-term liabilities:
Bonds payable	8,700	8,700
Total liabilities	29,650	28,940
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	39,666	34,748
Total stockholders' equity	45,666	40,748
Total liabilities and stockholders' equity	$ 75,316	$ 69,688

Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands)
	This Year	Last Year
Sales	$ 68,000	$ 65,000
Cost of goods sold	40,000	40,000
Gross margin	28,000	25,000
Selling and administrative expenses:
Selling expenses	11,400	10,800
Administrative expenses	7,200	6,400
Total selling and administrative expenses	18,600	17,200
Net operating income	9,400	7,800
Interest expense	870	870
Net income before taxes	8,530	6,930
Income taxes	3,412	2,772
Net income	5,118	4,158
Dividends to common stockholders	200	250
Net income added to retained earnings	4,918	3,908
Beginning retained earnings	34,748	30,840
Ending retained earnings	$ 39,666	$ 34,748

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.)