Hasbro 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):

The income from operations and interest expense from the income statement for both companies were as follows:

(a) Determine the ratio of liabilities to stockholders' equity for both companies. Round to one decimal place.

(b) Determine the number of times interest charges are earned for both companies. Round to one decimal place.

(c) Interpret the ratio differences between the twocompanies.