Tweedle Corporation's most recent balance sheet and income statement appear below:

Balance Sheet
December 31, Year 2 and Year 1
(in thousands of dollars)
Assets	Year 2			Year 1
Current assets:
Cash	$	140		$	130
Accounts receivable, net		200			210
Inventory		150			180
Prepaid expenses		20			20
Total current assets		510			540
Plant and equipment, net		950			910
Total assets	$	1,460		$	1,450
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$	130		$	150
Accrued liabilities		70			70
Notes payable, short term		70			60
Total current liabilities		270			280
Bonds payable		170			190
Total liabilities		440			470
Stockholders equity:
Common stock, $1 par value		200			200
Additional paid-in capital		320			320
Retained earnings		500			460
Total stockholders equity		1,020			980
Total liabilities & stockholders equity	$	1,460		$	1,450

Income Statement
For the Year Ended December 31, Year 2
(in thousands of dollars)
Sales (all on account)	$	1,190
Cost of goods sold		710
Gross margin		480
Selling and administrative expense		226
Net operating income		254
Interest expense		25
Net income before taxes		229
Income taxes (30%)		69
Net income	$	160

The times interest earned ratio for Year 2 is closest to:

Multiple Choice

• 6.40

• 9.16

• 14.51

• 10.16