Section 1 Multiple-choice questions (Total 30 points) Circle the most appropriate answer for each question. 1. An analyst is completing her analysis of three companies in the same industry. Which of these companies is the most solvent, i.e. most capable of repaying debt? (in thousands) Company A Company B Company C Total debt 10,087 Total assets 28,087 3,903 EBIT Interest payments 847 37% 34.2% Debt-to-assets ratio 5.34 5.55 Interest coverage ratio A. Company A B. Company B C. Company C