Twin Lakes Company Has the Following Values Taken from Its

Essay

Twin Lakes Company has the following values taken from its 2019 annual report (in thousands):
$$\begin{array} { l r } \text { Interest expense } & \$ 37,000 \\\text { Sales } & 480,000 \\\text { Earnings before interest and taxes } & 300,000 \\\text { Total liabilities } & 797,500 \\\text { Stockhalders' equity } & 600,000\end{array}$$ a. Calculate Twin Lakes Company's times-interest-earned ratio.
b. Calculate Twin Lakes Company's debt-to-equity ratio.