Key comparative figures ($ thousands) for both Krispy Kreme and Tastykake follow:

1. What is the debt ratio for Krispy Kreme in the current year and the prior year?
2. What is the debt ratio for Tastykake in the current year and the prior year?
3. Which of the two companies has a higher degree of financial leverage? What does this imply?

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Krispy Kreme Tastykake Current Prior Current Prior Key Figures Year Year Year Year Total liabilities Total assets $131,942 410,487 $ 65,218 255,376 $ 69,035 116,560 $ 61,072 116,137