Gibson Company's income statement information follows: Year 3 $426,000 115,000 Year 2 $261,000 Net sales Income before interest and taxes Net income after taxes Interest expense Common stock, December 31 Stockholders' equity, December 31 (Year 1: $200,000) 75,000 55,800 63,200 9,500 301,000 7,450 232,000 195,000 172,500 The average number of shares outstanding was 7,800 for Year 3 and 6,900 for Year 2. Required Compute the following ratios for Gibson for Year 3 and Year 2. a. Number of times interest was earned. (Round your answers to 2 decimal places.) b. Earnings per share based on the average number of shares outstanding. (Round your answers to 2 decimal places.) c. Price-earnings ratio (market prices: Year 3, $68 per share; Year 2. $78 per share) (Round your intermediate and final answers to 2 decimal places.) d. Return on average equity. (Round your percentage answers to 2 decimal places. (i.e., 0.2345 should be entered as 23.45).) e. Net margin. (Round your percentage answers to 2 decimal places. (i.e., 0.2345 should be entered as 23.45).) Answer is not complete. Year 3 Year 2 a. Times interest earned 12.11 times 10.06 times b. Earnings per share S 7.49 $ 9.161 c Price-earnings ratio times times d. Return on average equity 266,500,00 % % B. Net margin % %