Question: 1 ) Using the balance sheet and income statement information provided below for Company A and Company B to complete the questions below: Balance Sheets
Using the balance sheet and income statement information provided below for Company A and Company B to complete the questions below:
Balance Sheets
Assets
Current Assets
Property, plant, equipment net
Intangibles and other assets
Total Assets
Liabilities and Shareholders' Equity
Current Liabilities
LongTerm Liabilities
Total Liabilities
Shareholders' equity
Total Liabilities and Shareholders' Equity
Income Statements
Net Sales
Cost of Goods Sold
Gross Profit
Operating and other expenses
Interest Expense
Income before taxes
Tax Expense
Net Income
Calculate the DebttoEquity Ratio for each company
Calculate the Rate of Return on Assets for each company
Calculate the Rate of Return on Shareholders' Equity
Times Interest Earned Ratio
Which company would you invest in and why?
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