Advanced Micro Devices, Inc. (AMD) is “a global semiconductor company with facilities around the world.” AMD began operations in 1969. Texas Instruments, Inc. is the company that invented the integrated circuit over 50 years ago. It has more than 100,000 customers in over 30 countries. The following data were taken from the companies’ 2018 annual reports. Dollar amounts are in millions.

Required
a. Compute the current ratio for each company.
b. Compute the debt-to-assets ratio for each company.
c. Based on the ratios computed in Requirements a and b, which company had the better liquidity in 2018?
d. Based on the ratios computed in Requirements a and b, which company had the better solvency in 2018?

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Current assets Current liabilities Total assets Total liabilities Advanced Micro Devices $3,540 1,984 4,556 3,290 Texas Instruments $ 8,097 2,474 17,137 8,143