Required information [The following information applies to the questions displayed below] On January 1, 2024, the general ledger of Freedom Fireworks includes the following account balances: During January 2024, the following transactions occur: January 1 Borron $112,000 fron Captive Credit Corpotation. The inntal1ment note bears interest at 61 annually and maturen in 5 years. Paynent of $2,165 are required at the esd of each month for 60 monthn. January 4 Recelve $32,200 fron custoners on accounts recelvable. January 10 Pay canh on accounta payable, $23,000. January 15 Pay cash for malaries, $30,100. January 30 Pirework woles tor the nonth total $201,000. The cost of the units nold is 5118,500. January 31 Pay the firet monthly inatalinent of $2,165 related to the $112,000 borroved on January 1. 7. Analyze the following for Freedom Firoworks: 7. Analyze the following for Freedom Fireworks: Requirement 1: a-1. Caiculate the debt to equity ratio. a-2. If the average debt to equity ratio for the industry is 1 , is Freedom Fireworks more or less leveraged than other companles in the same industry? Requirement 2: b-1. Calculate the times interest earned ratio. b-2. If the average times interest earned ratio for the industry is 20 times, is the company more or less able to meet interest payments than other companies in the same industry? Requirement 3: c. Based on the ratios calculated in (a1.) and (b1.), would Freedom Fireworks be more likely to recelve a higher or lower interest rate than the average borrowing rate in the industry? Complete this question by entering your answers in the tabs below. Calculate the debt to equity ratio. 7. Analyze the following for Freedom Fireworks: Requirement 1: a-1. Calculate the debt to equity ratio. a-2. If the average debt to equity ratio for the industry is 1, is Freedom Fireworks more or less leveraged than other companies in the same industry? Requirement 2: b-1. Calculate the times interest earned ratio. b-2. If the average times interest earned ratio for the industry is 20 times, is the company more or less able to meet interest payments than other companies in the same industry? Requirement 3: c. Based on the ratios calculated in (a1.) and (bi.), would Freedom Fireworks be more likely to receive a higher or lower interest rate than the average borrowing rate in the industry? Complete this question by entering your answers in the tabs below. If the average debt to equity ratio for the industry is 1 , is Freedom Fireworks more or less leveraged than other companies in the same industry? It the average dobs to equity ratio for the industry is 1 , is Freedom Fireworks more of less leveraged than othar companies in the same indusiry? 7. Analyze the following for Freedom Fireworks: Requirement 1: a-1. Calculate the debt to equity ratio. a-2. If the average debt to equity ratio for the industry is 1 , is Freedom Fireworks more or less leveraged than other companies in the same industry? Requirement 2: b-1, Calculate the times interest carned ratio. b-2. If the average times interest earned ratio for the industry is 20 times, is the company more or less able to meet interest payments than other companies in the same industry? Requirement 3: c. Based on the ratios calculated in (a1.) and (b1.), would Freedom Fireworks be more likely to receive a higher or lower interest rate than the average borrowing rate in the industry? Complete this question by entering your answers in the tabs below. Calculate the times interest earned ratio. 7. Analyze the following for Freedom Fireworks: Requirement 1: a-1. Calculate the debt to equity ratio. a-2. If the average debt to equity ratio for the industry is 1 , is Freedom Fireworks more or less leveraged than other companies in the same industry? Requirement 2: b-1. Calculate the times interest earned ratio, b-2. If the average times interest earned ratio for the industry is 20 times, is the company more or less able to meet interest payments than other companies in the same industry? Requirement 3: c. Based on the ratios calculated in (a1.) and (b1.), would Freedom Fireworks be more likely to recelve a higher or lower interest rate than the average borrowing rate in the industry? Complete this question by entering your answers in the tabs below. If the average times interest earned ratio for the industry is 20 times, is the company more or less able to meet interest payments than other companies in the same industry? If Dhe tiverage times inferest earned fatio for the industy is 20 timess, is the company more or less abla to meet interest payments than other compainios in the same industry? 7. Analyze the following for Freedom Fireworks: Requirement 1: a-1. Calculate the debt to equity ratio. a-2. If the average debt to equity ratio for the industry is 1, 15 Freedom Fireworks more or less leveraged than other companies in the same industry? Requirement 2: b-1. Calculate the times interest earned ratio, b-2. If the average times interest earned ratio for the industry is 20 times, is the company more or less able to meet interest payments than other companies in the same industry? Requirement 3: c. Based on the ratios calculated in (a1.) and (b1.), would Freedom Fireworks be more likely to receive a higher or lower interest rate than the average borrowing rate in the industry? Complete this question by entering your answers in the tabs below. Based on the ratios calculated in (a) and (b), would Freedom Fireworks be more likely to receive a higher or lower interest rate than the average borrowing rate in the industry? Bosed on the railos calculated in (b) and (b), wouts Froadom Fireworks be more likely to rece we a higher or lower? interest rate than the awerage borrowing rate in the industry