Use the financial statements of Wins Companies in Short Exercise 15-5. Requirements 1. Compute the debt ratio

Question:

Use the of Win’s Companies in Short Exercise 15-5.
Requirements
1. Compute the debt ratio and the debt to equity ratio at May 31, 2012.
2. Is Win’s ability to pay its liabilities strong or weak? Explain your reasoning.

Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial...