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 $20. 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		$	1,250
Accounts receivable, net		11,000			7,300
Inventory		13,800			12,100
Prepaid expenses		720			570
Total current assets		26,640			21,220
Property and equipment:
Land		10,800			10,800
Buildings and equipment, net		39,364			38,222
Total property and equipment		50,164			49,022
Total assets	$	76,804		$	70,242
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$	19,600		$	18,500
Accrued liabilities		1,050			770
Notes payable, short term		0			260
Total current liabilities		20,650			19,530
Long-term liabilities:
Bonds payable		8,300			8,300
Total liabilities		28,950			27,830
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		41,854			36,412
Total stockholders' equity		47,854			42,412
Total liabilities and stockholders' equity	$	76,804		$	70,242

Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands)
	This Year			Last Year
Sales	$	67,000		$	64,000
Cost of goods sold		39,000			37,000
Gross margin		28,000			27,000
Selling and administrative expenses:
Selling expenses		11,100			10,300
Administrative expenses		6,600			6,000
Total selling and administrative expenses		17,700			16,300
Net operating income		10,300			10,700
Interest expense		830			830
Net income before taxes		9,470			9,870
Income taxes		3,788			3,948
Net income		5,682			5,922
Dividends to common stockholders		240			450
Net income added to retained earnings		5,442			5,472
Beginning retained earnings		36,412			30,940
Ending retained earnings	$	41,854		$	36,412

Compute the following financial ratios for this year:

1. Times interest earned ratio.

2. Debt-to-equity ratio.

3. Equity multiplier.