1. In early 2015, Ford Motor(F) had a book value of equity of $24.8 billion, 3.9 billion sharesoutstanding, and a market price of $15.96 per share. Ford also had cash of $ 21.9 billion, and total debt of $ 117.9 billion. Three yearslater, in early 2018 Ford had a book value of equity of $ 34.5 billion, 10.4 billion shares outstanding with a market price of $ 10.47 pershare, cash of $ 26.6 billion, and total debt of $ 156.6

billion. Over thisperiod, what was the change inFord's

a. bookdebt-equity ratio?

b. marketdebt-equity ratio?

*round 2 decimal place

1. In early2018, Abercrombie& Fitch(ANF) had a book equity of $1,252 million, a price per share of $22.62, and 69.2 million shares outstanding. At the sametime, The Gap(GPS) had a book equity of $3,144 million, a share price of $ 31.43 and 383 million shares outstanding.

a. What is themarket-to-book ratio of each of these clothingretailers?

b. What conclusions do you draw from comparing the tworatios?

*round 2 decimal place