Question 5. Financial Statement Analysis (Chapter 12) - 12 Marks You have obtained the financial statements of Company "A" and Company "B", two companies in the manufacturing industry. You have acquired the following information for an analysis of the companies: Net Income 252,000 210,000 Required: 1) Calculate and compare the following ratios for the two companies: a. Current ratio b. Accounts receivable turnover c. Inventory turnover d. Debt to equity e. Gross margin f. Return on assets g. Return on equity 2) Which company appears to be the better investment for the shareholder? Why? 3) Which company appears to be the better credit risk for the lender? Why