The following information relates to Judd Ltd and Hayes Ltd respectively. Both companies operate in the automotive spare parts industry. Judd Ltd Hayes Ltd Required: a) Evaluate and compare the profitability of the two companies. Discuss reasons why profitability differs between the two companies. b) Evaluate and compare the two companies Capital Structure (Solvency) ratios.

\begin{tabular}{rrrcccc} & \multicolumn{2}{c}{ Judd Ltd } & \multicolumn{3}{c}{ Hayes Ltd } \\ 2019 & 2020 & 2021 & & 2019 & 2020 & 2021 \\ .12 & .13 & .17 & Profit Margin (ROS) & .12 & .10 & .09 \\ 1.41 & 1.63 & 1.87 & Asset turnover & 1.71 & 1.46 & 1.26 \\ .38 & .41 & .43 & Return on Equity & .36 & .32 & .27 \\ .27 & .23 & .17 & Debt Ratio & .51 & .56 & .58 \\ 5.8 & 6.7 & 7.9 & Times interest covered & 2.3 & 2.2 & 2.1 \end{tabular}