Essay
In each of the following cases, explain briefly which of the two companies is likely to be characterized by the higher ratio.
a. Debt-equity ratio: an electronics store or a tour operator
b. Payout ratio: BigBookstore or HomeRobots
c. Ratio of sales to assets: a restaurant or a car rental company
d. Average collection period: The Power Company or Joe's FastFood
Correct Answer:

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a. The electronics store, which has more...View Answer
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Correct Answer:
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