Problem 9-22A (Algo) Ratio analysis LO 9-3, 9-4, 9-5 Rooney Company's income statement information follows: Net sales Income before interest and taxes Net income after taxes Interest expense Stockholders' equity, December 31 (Year 1: $191,000) Common stock, December 31 Year 3 $411,000 114,000 55,720 9,450 303,000 197,500 Year 2 $266,000 83,000 63,500 7,600 229,000 172,500 The average number of shares outstanding was 7,900 for Year 3 and 6,900 for Year 2. Required Compute the following ratios for Rooney 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. $69 per share; Year 2, $77 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. (l.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).) Year 3 times Year 2 times a Times interest eamed b. Eamings per share c. Price-earnings ratio d. Return on average equity e. Net margin times times % % % %