Key comparative figures for Polaris and Arctic Cat follow.

1. What is the debt ratio for Polaris in the current year and for the prior year?
2. What is the debt ratio for Arctic Cat in the current year and for the prior year?
3. Which of the two companies has the higher degree of financial leverage? What does thisimply?

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Polaris Arctic Cat Current Prior Cuerent Prior Year Year Year Year ($ thousands) Total assets. ..,228,024 1,061,647272,906 246,084