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You are considering a stock investment in one of two firms ( LotsofDebt , Inc. and LotsofEquity, Inc. ) , both of which operate in

You are considering a stock investment in one of two firms (LotsofDebt, Inc. and LotsofEquity, Inc.), both of which operate in the same
industry. LotsofDebt, Inc. finances its $30.50 million in assets with $29.25 million in debt and $1.25 million in equity. LotsofEquity, Inc.
finances its $30.50 million in assets with $1.25 million in debt and $29.25 million in equity.
Calculate the debt ratio. (Round your answers to 2 decimal places.)
Calculate the equity multiplier. (Round your answers to 2 decimal places.)
Calculate the debt-to-equity. (Round your answers to 2 decimal places.)
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