Ratio Analysis}

Red Corporation had \(\$ 2,000,000\) in total liabilities and \(\$ 3,500,000\) in total assets as of December 31, 2018. Of Red's total liabilities, \(\$ 350,000\) is long-term.

Required:

Calculate Red's total debt to total assets ratio and its total long-term debt to total equity ratio. (Note: Round answers to four decimal places.)

\section*{Cornerstone Exercise