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Use the following information to answer this question. Windswept, Inc. Year 2 Income Statement ($ in millions). Net sales $ 9,600 Less: Cost of goods

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Use the following information to answer this question. Windswept, Inc. Year 2 Income Statement ($ in millions). Net sales $ 9,600 Less: Cost of goods sold $ 7,550 Less: Depreciation 380 Earnings before interest and taxes $ 1,670 Less: Interest paid Taxable income $ 1,575 Less: Taxes Net income $ 1,024 95 551 Windswept. Inc. Year 1 and Year 2 Balance Sheets ($ in millions). Year 1 Year 2 Cash $200 $ 230 Accounts payable Accounts rec. 950 850 Long-term debt Inventory 1,690 1,625 Common stock Total $ 2,840 $ 2,705 Retained earnings Net fixed assets 3,320 3,820 Total assets $6,160 $ 6,525 Total liab. & equity Year 1 $1,410 1,040 $3,200 510 Year 2 $ 1,542 1,273 $ 2,950 760 $ 6,160 $6,525 What is the financial leverage ratio for Year 27 (use the year-end value, not an average. 2.59

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