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Below are the ratios of Blue Shark Company in 2018: OMANO points 2018 Debt to Total equity Time interest earned ratio 0.NO Industry average 0.90

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Below are the ratios of Blue Shark Company in 2018: OMANO points 2018 Debt to Total equity Time interest earned ratio 0.NO Industry average 0.90 1.5 1.2 A A. Indicate whether the Debt to Total equity & time interest earned ratios are favourable/unfavourable compared to the industry average and why. (2.25 marks 8. Explain what Debt to total equity ratio means to the company, (2.25 marks) C. What does time to interest earned ratio means to the company. (2.25 marks) D. Recommend what company should do to improve time interest earned ratio and Debt to total equity ratio (2.25 Marks)

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