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(5 in millions) Total assets total liabilities Total stockholders' equity Company A $40,888 21,490 19, 390 Company $33,870 13,978 2,100 Sales Interest expense Tax expense

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(5 in millions) Total assets total liabilities Total stockholders' equity Company A $40,888 21,490 19, 390 Company $33,870 13,978 2,100 Sales Interest expense Tax expense Net Income $65.179 680 1.390 2,550 $42,210 360 1.620 1,790 15.45 1-6. Calculate the debt to equity ratio for Company A and Company B. (Round your answers to 2 decimal places.) Debt to Equity Ratio Company A Company B 1-b. Which company has the higher ratio? O Company A Company B 2-6. Calculate the times interest earned ratio for Company A and Company B (Round your answers to 1 decimal place) Time Interest Earned Ratio times mes Comony Company 2.b. Which company is better able to meet interest payments as they become cue? Company A Company B 27 of 50

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