The information below is excerpted from the financial statements of two companies active in the retail...

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The information below is excerpted from the financial statements of two companies active in the retail industry. Use this information and the proper financial ratio(s) to answer the following questions (in $ million) Company A Company B Net revenues 107958 37296 Net income 3526 1188 Accounts receivables 910 19908 Total current assets 18672 29564 Total ass Total current liabilities 12708 15370 Total liabilities 26494 32433 Total stockholders' equity 14000 4500 Note: Approximately 98% of Company B's account receivables are from unpaid balances carried by customers using the store credit card. Is one company significantly more profitable than the other? Justify using appropriate ratio(s) The information below is excerpted from the financial statements of two companies active in the retail industry. Use this information and the proper financial ratio(s) to answer the following questions (in $ million) Company A Company B Net revenues 107958 37296 Net income 3526 1188 Accounts receivables 910 19908 Total current assets 18672 29564 Total ass Total current liabilities 12708 15370 Total liabilities 26494 32433 Total stockholders' equity 14000 4500 Note: Approximately 98% of Company B's account receivables are from unpaid balances carried by customers using the store credit card. Is one company significantly more profitable than the other? Justify using appropriate ratio(s)

Answer rating: 100% (QA)

Answer To find out which company uses its assets better we need to find ... View the full answer