Consider the following financial statement data for Hi-Tech Instruments:

For the Year Ended December 31
(Thousands of Dollars, except Earnings per Share)
Sales revenue	$219,000
Cost of goods sold	134,000
Net income	17,300
Dividends	11,600
Earnings per share	$4.15

HI-TECH INSTRUMENTS, INC.
Balance Sheets
(Thousands of Dollars)	Current Year	Prior Year
Assets
Cash	$27,300	$27,000
Accounts receivable (net)	55,000	50,000
Inventory	48,500	52,700
Total Current Assets	130,800	129,700
Plant assets (net)	61,600	59,500
Other assets	24,600	22,800
Total Assets	$217,000	$212,000
Liabilities and Stockholders Equity
Notes payablebanks	$15,000	$15,000
Accounts payable	31,500	27,700
Accrued liabilities	25,500	30,000
Total Current Liabilities	72,000	72,700
9% Bonds payable	49,000	49,000
Total Liabilities	121,000	121,700
Common stock	50,000	50,000
Retained earnings	46,000	40,300
Total Stockholders Equity	96,000	90,300
Total Liabilities and Stockholders Equity	$217,000	$212,000

* $25.00 par value; 2,000,000 shares

Industry Average Ratios for Competitors
Quick ratio	1.3
Current ratio	2.4
Accounts receivable turnover	5.9	times
Inventory turnover	3.5	times
Debttoequity ratio	0.73
Gross profit percentage	42.8	percent
Profit margin	4.5	percent
Return on assets	7.6	percent

1. Calculate the company's debt-to-equity ratio. Note: Round answers to two decimal places, when appropriate.

2. Compare the result to the industry average. pick one.

The company's debt-to-equity ratio is (higher OR lower) than the industry's average.