a.Using the financial statements for GMT Enterprises for 2010 (given below),calculate the return on equity,the debt ratio,and the times interest earned ratio. b.Suppose the industry average debt ratio is 50%.Give one reason why the debt ratio for GMT Enterprises may be considered favorable,and give one reason why the debt ratio for GMT Enterprises may be considered unfavorable. GMT Enterprises 2010 Financial Statements 
Definitions:
Information Scarcity
A situation where necessary or desired information is limited or hard to obtain.
Decision Making Process
A series of steps taken by an individual or a group to identify and evaluate options and make a choice among them.
Assumption Smashing
A creativity and problem-solving technique that challenges and breaks down existing assumptions to explore new possibilities.
Lateral Thinking
A problem-solving technique that involves looking at situations or problems from a unique or unexpected perspective.
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