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 $21. All of the companys sales are on account.

Weller Corporation Comparative Balance Sheet (dollars in thousands)
	This Year	Last Year
Assets
Current assets:
Cash	$ 1,270	$ 1,220
Accounts receivable, net	11,000	6,900
Inventory	13,000	12,400
Prepaid expenses	620	660
Total current assets	25,890	21,180
Property and equipment:
Land	10,900	10,900
Buildings and equipment, net	42,647	40,811
Total property and equipment	53,547	51,711
Total assets	$ 79,437	$ 72,891
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$ 19,000	$ 18,000
Accrued liabilities	980	730
Notes payable, short term	0	180
Total current liabilities	19,980	18,910
Long-term liabilities:
Bonds payable	8,400	8,400
Total liabilities	28,380	27,310
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	45,057	39,581
Total stockholders' equity	51,057	45,581
Total liabilities and stockholders' equity	$ 79,437	$ 72,891

Weller Corporation Comparative Income Statement and Reconciliation (dollars in thousands)
	This Year	Last Year
Sales	$ 69,000	$ 66,000
Cost of goods sold	41,000	33,000
Gross margin	28,000	33,000
Selling and administrative expenses:
Selling expenses	10,700	10,400
Administrative expenses	7,000	6,400
Total selling and administrative expenses	17,700	16,800
Net operating income	10,300	16,200
Interest expense	840	840
Net income before taxes	9,460	15,360
Income taxes	3,784	6,144
Net income	5,676	9,216
Dividends to common stockholders	200	375
Net income added to retained earnings	5,476	8,841
Beginning retained earnings	39,581	30,740
Ending retained earnings	$ 45,057	$ 39,581

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.)