Two online travel companies, E-Travel and Pricecheck, provide the following selected financial data:

Required:
1. Calculate the debt to equity ratio for E-Travel and Pricecheck. Which company has the higher ratio? Compare your calculations with those for Coca-Cola and PepsiCo reported in the chapter. Which industry maintains a higher debt to equity ratio?
2. Calculate the times interest earned ratio for E-Travel and Pricecheck. Which company is better able to meet interest payments as they become due? Compare your calculations with those for Coca-Cola and PepsiCo reported in the chapter. Which industry has a better times interest earnedratio?

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($ in thousands) Total assets Total liabilities Total stockholders' equity Sales revenue Interest expense Tax expense Net income E-Travel $7,437,156 4,254,475 3,182,681 $3,455,426 Pricecheck $2,094,224 486,610 1,607,614 S2,838,212 34,084 57,168 509,472 94,233 174,400 319,526