(Calculating capital structure weights) Winchell Investment Advisors is evaluating the capital structure of Ojai Foods. Ojai's balance sheet indicates that the firm has $48.93 million in total liabilities. Ojai has only $40.91 million in short- and long-term debt on its balance sheet. However, because interest rates have fallen dramatically since the debt was issued, Ojai's short- and long-term debt has a current market price that is 10 percent over its book value or $45.00 million. The book value of Ojai's common equity is $50.25 million but the market value of the equity is currently $98.95 million.

a.What is Ojai's debt ratio and interest-bearing debt ratio calculated using book values? (Roundto one decimal place.)

b.What is Ojai's debt-to-enterprise-value ratio calculated using the market values of the firm's debt and equity and assuming excess cash is zero? (Roundto one decimal place.)