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 the year was $27. All of the companys sales are on account.

Weller Corporation Comparative Balance Sheet (dollars in thousands)
	This Year			Last Year
Assets
Current assets:
Cash	$	1,180		$	1,290
Accounts receivable, net		10,100			8,400
Inventory		13,900			11,300
Prepaid expenses		650			560
Total current assets		25,830			21,550
Property and equipment:
Land		9,100			9,100
Buildings and equipment, net		45,220			43,670
Total property and equipment		54,320			52,770
Total assets	$	80,150		$	74,320
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$	19,000		$	18,900
Accrued liabilities		1,090			750
Notes payable, short term		0			160
Total current liabilities		20,090			19,810
Long-term liabilities:
Bonds payable		9,500			9,500
Total liabilities		29,590			29,310
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		44,560			39,010
Total stockholders' equity		50,560			45,010
Total liabilities and stockholders' equity	$	80,150		$	74,320

Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands)
	This Year			Last Year
Sales	$	67,000		$	66,000
Cost of goods sold		38,000			34,000
Gross margin		29,000			32,000
Selling and administrative expenses:
Selling expenses		11,300			10,200
Administrative expenses		7,100			6,900
Total selling and administrative expenses		18,400			17,100
Net operating income		10,600			14,900
Interest expense		950			950
Net income before taxes		9,650			13,950
Income taxes		3,860			5,580
Net income		5,790			8,370
Dividends to common stockholders		240			300
Net income added to retained earnings		5,550			8,070
Beginning retained earnings		39,010			30,940
Ending retained earnings	$	44,560		$	39,010

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.)