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 bonds, which were sold at their face value, was 10%. The income tax rate was 40% and the dividend per share of common stock was $0.40 this year. The market value of the company's common stock at the end of the year was $20. All of the company's sales are on account. Weller Corporation Comparative Balance Sheet (dollars in thousands) This Year Last Year Assets Current assets: Cash Accounts receivable, net Inventory Prepaid expenses $ 1,230 10.700 12,900 790 $ 1,400 8,100 11,000 600 Total current assets 25,620 21,100 Property and equipment: Land Buildings and equipment, net 9,900 47,942 9,900 38,906 Total property and equipment 57,842 48,806 Total assets $83,462 $69,906 Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands) This Year Last Year Sales $72,000 $65,000 Cost of goods sold 34,000 36,000 Gross margin 38,000 29,000 Selling and administrative expenses: Selling expenses Administrative expenses 11,400 7,300 11,000 6,500 Total selling and administrative expenses 18,700 17,500 Net operating income Interest expense 19.300 890 11.500 890 Net income before taxes Income taxes 18,410 7,364 10,610 4,244 Net income Dividends to common stockholders 11,046 200 6,366 500 Net income added to retained earnings Beginning retained earnings 10,846 36,506 5,866 30,640 Ending retained earnings $47,352 $36,506 Required: Compute the following financial ratios for this year: 1. Times interest earned ratio. (Round your answer to 1 decimal place.) Times interest earned ratio 2. Debt-to-equity ratio. (Round your answer to 2 decimal places.) Debt-to-equity ratio 3. Equity multiplier. (Round your answer to 2 decimal places.) Equity multiplier