You are a long-term creditor to a company. Of the following statements, which would you prefer when computing the company's financial ratios:

1. A debt ratio of 60 percent to a debt ratio of 40 percent

2. A debt ratio of 40 percent to a debt ratio of 60 percent

3. A timesinterestearned of 5.1 to a times-interest-earned of 3.9

4. A timesinterestearned of 3.9 to a times-interest-earned of 5.1

Group of answer choices

1 and 3

2 and 3

2 and 4

1 and 4