Evaluating the Liabilities of General Mills Refer to the General Mills financial statements at the end of the text and answer the following questions:

1. What are the items listed as long-term liabilities by General Mills? How did those liabilities change from 2005 to 2006?

2. Calculate the debt-to-equity ratio and the times interest earned ratio of the company for 2005 and 2006. What do those ratios reveal about the company and its ability to meet its obligations on its long-term liabilities?