Below Is Selected Information from DXI's 2007 Financial Statements $\text { Selected Income Statement Data - for the year ending December 31,2007: }$

Below is selected information from DXI's 2007 financial statements: $\begin{array}{|l|l|l|}\hline \text { Dec. 31, 2006 } & \text { As of Dec.31, } 2007 & \\\hline \$ 745,800 & \$ 958,245 & \text { Cash and short-term investments } \\\hline 135,400 & 125,850 & \text { AccountsReceivable (net) } \\\hline 175,840 & 195,650 & \text { Inventories } \\\hline 30,860 & 45,300 & \text { Prepaid Expenses and other current assets } \\\hline \$ 1,087,900 & \$ 1,325,045 & \text { Total Current Assets } \\\hline 1,358,700 & 1,478,320 & \text { Plant, Property and Equipment, net } \\\hline 120,400 & 125,600 & \text { Intangible Assets } \\\hline \$ 2,567,000 & \$ 2,928,965 & \text { Total Assets } \\\hline\\\hline & & \\\hline 38,108 & \$ 25,190 & \text { Short-term borrowings } \\\hline 40,000 & 45,000 & \text { Current portion of long-term debt } \\\hline 325,900 & 285,400 & \text { Accounts payable } \\\hline 705,891 & 916,722 & \text { Acculed liabilities } \\\hline\\\hline 05,891 & \$ 16,722 & \text { Accued liablilties } \\\hline 115,600 & 125,400 & \text { Income taxes payable } \\\hline \$ 1,225,499 & \$ 1,397,712 & \text { Total Current Liabilities } \\\hline 430,000 & 450,000 & \text { Long-term Debt } \\\hline \$ 1,655,499 & \$ 1,847,712 & \text { Total Liabilities } \\\hline \$ 911,501 & \$ 1,081,253 & \text { Shareholders' Equity } \\\$ 2,567,000 & \$ 2,928,965 & \text { Total Liabilities and Shareholders Equity } \\\hline\end{array}$
$\text { Selected Income Statement Data - for the year ending December 31,2007: }$
$\begin{array}{|c|l|l|}\hline \quad\quad\quad\quad\quad\quad\quad&\$ 3,210,645 & \text { Net Sales } \\\hline&-2,310,210 & \text { Cost of GoodsSold } \\\hline &900,435 & \text { Pperating Income } \\\hline &324,850 & \text { Net Income } \\\hline\end{array}$
$\text { SelectedStatement of Cash Flow Data - for the year encling December 31,2007:}$
$\begin{array}{|l|l|l|}\hline \quad\quad\quad\quad\quad\quad\quad&\$ 584,750 & \text { Cash Flows from Operations } \\\hline &42,400 & \text { Interest Expense } \\\hline &114,200 & \text { Income Tax Expense } \\\hline\end{array}$ DXI's 2007 Interest Coverage ratio is

A) 7.66
B) 1.00
C) 11.35
D) 4.35