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7 The condensed balance sheet and income statement for Marjoram Company are presented below. MORAR COM Balance sheet A December 31, 2021 Cash $ 27,000 Notes receivable (due August 15, 2022) 45,000 Accounts receivable (net) 51.500 Merchandise Inventory 75,400 Property, plant, and equipment that 330,000 Intangible asset 35.600 Total asset 5544.600 Creat liabilities 5121,000 Donde payable(108) long-term 125,000 Common stock 54.000 Detained earnings 21.6.00 Total liabilities and getty 6544.600 Sale RAJONAK COMPANY The statement For the Yearded December 31, 201 $940,000 Cont of goods sold 502,400 os profis 5441.600 Operating expenses 165.400 Gperating Income 5255,200 Toteresten 12.500 Incone before income tax $285,700 In tas 731110 Het le $170,590 Required: Compute the debt to equity ratio for Marjoram Company. (Round your answer to 2 decimal places.) Bonde payabler10 ) long-term) Common stock Retained earnings Total liabilities and equity 125,000 64,000 234,600 $544,600 MARJORAN COMPANY Income Statement For the Year ended December 31, 2021 Sales 8944,000 Cont of goods sold 502.400 Gross profit $441,600 Operating expenses 185,400 Operating Income $256,200 Interest expense 12,500 Income before income tax $243,700 Income tax expense 73,110 Net Income $170,590 Required: Compute the debt to equity ratio for Marjoram Company. (Round your answer to 2 decimal places.) Debtora

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