Hasbro, Inc. (HAS), and Mattel, Inc. (MAT), are the two largest toy companies in North America. Condensed liabilities and stockholders equity from a recent balance sheet are shown for each company as follows (in thousands):

		Hasbro		Mattel
Liabilities:
Current liabilities		$1,617,859		$1,505,573
Long-term debt		1,588,067		2,580,439
Total liabilities		$3,205,926		$4,086,012
	Total stockholders equity	$1,862,736		$2,407,782
	Total liabilities and stockholders equity	$5,068,662		$6,493,794

The operating income and interest expense from the income statement for each company were as follows (in thousands):

	Hasbro		Mattel
Operating income (before income tax expense)	$692,489		$409,472
Interest expense	97,405		95,118

a. Determine the ratio of liabilities to stockholders' equity for both companies. Round to one decimal place.

Hasbro Inc.
Mattel Inc.

b. Determine the times interest earned ratio for both companies. Round to one decimal place.

Hasbro Inc.
Mattel Inc.

c. Together, these ratios indicate that earnings are more than enough to make interest payments. With that said, Hasbro does provide creditors with a greater margin of safety than Mattel.