The following information was available for the year ended December 31, 2016: Earnings before interest and taxes (operating income) $ 97,500 Interest expense 15,000 Income tax expense 22,500 Net income 60,000 Total assets at year-end 288,000 Total liabilities at year-end 216,000

Required: show all work

(a.) Calculate the debt ratio at December 31, 2016.

(b.) Calculate the debt/equity ratio at December 31, 2016.

(c.) Calculate the times interest earned for the year ended December 31, 2016.

The ngormatsvabie for th er enged Deceer st 2015 Earnings before interest and taxes (operating income Interest expense Income tax expense Net income Total assets at year-end Total liabilities at year-end s 97.500 15,000 22,500 60,000 288,000 216,000