Please enter your ratio calculations below.

Unit 2 Assignment- Types of Ratios	2008	2009	2010
Profitability Ratios
Return on equity	18.02%	6.99%	4.95%
Return on assets	11.70%	4.95%	3.63%
Profit margin	6.96%	2.98%	2.34%
Turnover-Control Ratios
Asset turnover	1.68	1.66	1.55
Fixed-asset turnover	5.15	5.09	5.54
Inventory turnover	2.16	2.34	2.38
Leverage and Liquidity Ratios
Debt to assets	35.06%	29.10%	26.76%
Times interest earned	45.5	20.64	204.43
Current ratio	2.42	2.87	3.16

1. Comment on Mens Wearhouse, Inc.s Debt to Assets ratio the indicator of leverage -trends for the last three years.
   1. Explain the concept of financial leverage, given the concept of the Debt to Assets ratio, as it applies to the capital structure of Mens Wearhouse, Inc. Include a note to explain why might a .50 Debt to Assets ratio be deemed a benchmark / acceptable / leverage ratio.

2. To what extent are you impressed or concerned with the percent of debt financing of Mens Wearhouse, Inc.s Total Assets if the industry norm is 65%?

3. Comment on the trends and the factors influencing the Times Interest Earned multiple.