MA-16. Long-Term Solvency Ratios Summary data from year-end financial statements of Palm Springs Company for 2017 follow. Summary Income Statement Data Sales $11,692,900 Cost of goods sold 5,135,000 Selling expenses 938,000 Administrative expenses 780,000 Interest expense 2,210,000 Income tax expense 905,000 9,968,000 Net income $1,724,900 Cash Summary Balance Sheet Data $117,000 Total liabilities $900,000 1,183,000 Stockholders' equity 400,000 $1,300,000 Total liabilities and equity $1,300,000 Noncash assets Total assets Round answers to two decimal places. times a. Compute the ratio of times-interest-earned. b. Compute the debt-to-equity ratio