XYZ Inc. has the following income statement as of 2014.

Sales $7,035,000 Cost of goods sold (5,875,000) Other expenses (550,000) EBITDA 609,000 Depreciation (116,000) EBITDA 492,000Interest expense (70,000)EBT 422,000Taxes (40%) (169.000) Net Revenue $253.000

11. Calculate this company's Earned-Time Interest (TIE) rate. If the industry it averages 6.3x, what is your assessment for this company's TIE rate? (The nearest

number)