Question: Price Break and Low Cost are both discount store chains Condensed income

Price-Break and Low-Cost are both discount store chains. Condensed income statements and balance sheets for the two companies are shown in Exhibit.

Amounts are in thousands.
1. Prepare common-size statements for Price-Break and Low-Cost for 20X9.
2. Compare the financial performance for 20X9 and financial position at the end of 20X9 for Price-Break with the performance and position of Low-Cost. Use only the statements prepared in requirement 1.
3. Calculate and compare ROE for the twofirms.
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  • CreatedFebruary 20, 2015
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