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Hasbro, Inc. and Mattel, Inc, are the two largest toy companies in North America. Condensed labilities and stockholders equity from a recent balance sheet are
Hasbro, Inc. and Mattel, Inc, are the two largest toy companies in North America. Condensed labilities and stockholders equity from a recent balance sheet are shown for each company as follows (in thousands) Hasbro Liabilities Current liabilities Long-term debt Deferred liabiities $960,435 1,396,421 461.152 $2,818,008 3 1,716.012 1.100,000 643,729 $ 3,459,741 Total liabilities Shareholders' equity: Common stock S 104,847 655,943 3,354,545 (72,307) (2,535,649) S 1,507,379 S 4,325,387 $ 441,369 1,727,682 3,515,181 (464,486) (2.152,702) 5 3,067,044 s 6,526,785 Additional paid in capital Retained earnings Accumulaled other comprehensive loss and other equity items Treasury stock, at cost Total stockholders equity Total liabilites and stockholders' equity The income from operations and interest expense from the income statement for each company were as follows (in thousands) Hasbro $453,402 117,403 Mattel Income from operations (before income tax) Interest expense $945,045 88,835 A. Determine the ratio of liabilities to stockholders' equity for both companies (Round to one decimal place) B. Determine the times interest earned ratio for both companies. (Round to one decimal place ) C. Interpret the ratio differences between the two companies + Upload File search
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