The following information comes from the accounting records of Hercep Ltd. for the first three years of its existence:

		2018		2019		2020
Statement of Financial Position
Assets
Cash		$23,500		$20,100		$27,800
Accounts receivable		68,000		55,500		142,500
Inventory		116,000		136,000		232,000
Capital assets (net)		424,000		464,000		500,000
Other assets		234,000		212,000		267,800
		$865,500		$887,600		$1,170,100
Liabilities and equity
Accounts payable		$104,000		$52,000		$104,000
Long-term debt		200,000		250,000		500,000
Common shares		514,000		514,000		514,000
Retained earnings		47,500		71,600		52,100
		$865,500		$887,600		$1,170,100
Statement of Earnings
Sales		$645,000		$770,000		$960,000
Cost of goods sold		(367,650)		(508,200)		(710,400)
Other expenses		(165,000)		(234,000)		(232,000)
		112,350		27,800		17,600
Income tax		(33,705)		(8,340)		(5,280)
Net income		$78,645		$19,460		$12,320

Based on the above information, analyze the company's use of leverage from 2018 to 2020. (Round answers to 1 decimal place, e.g. 15.1%.) 2018 2019 2020 Debt to Equity 54.1 % 51.6 % 106.7 % Return on Assets 9.1 % 2.2 % 1.1 % Return on Equity 14 % 3.3 % 2.2 %