IM. 17.01 Hasbro, Inc., and Mattel, Inc., 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): M. 17.02 Hasbro Mattel Liabilities: IM. 17.03 Current liabilities $3,612,000 $6,944,000 IM. 17.04 Long-term debt 1,945,200 2,756,000 Other liabilities 1,322,200 IM. 17.05 Total liabilities $5,557,200 $11,022,200 IM. 17.06 Shareholders' Common stock $315,000 $1,417,000 .17.04.ALGO Additional paid in capital 973,000 5,196,000 .17.05.ALGO Retained earnings 6,053,000 5,354,000 Accumulated other comprehensive .17.06.ALGO income (loss) and other equity items 69,000 (866,000) X.17.10.ALGO Treasury stock, at cost (2,779,000) (3,228,000) Total stockholders' equity $4,631,000 $7,873,000 X. 17.11.ALGO Total liabilities and stockholders' equity $10,188,200 $18,895,200 X. 17.12.ALGO The income from operations and interest expense from the income statement for both companies were as follows (in thousands): X. 17.14.ALGO Hasbro Mattel Income (loss) from operations (before income tax expense) $1,446,720 $4,202,910 X. 17.16.ALGO Interest expense 105,600 341,700 X. 17.17.ALGO a. Determine the ratio of liabilities to stockholders' equity for both companies. Round your answers to one decimal place. Hasbro, Inc. X. 17.19.ALGO Mattel, Inc. X. 17.20.ALGO b. Determine the times interest earned ratio for both companies. Round your answers to one decimal place. R.17.01.ALGO Hasbro, Inc. Mattel, Inc. R.17.02.ALGO c. Hasbro, Inc. provides a slightly margin of safety to creditors. Earnings for both companies appear to make interest payments