Based on Long-Term Debt paying ability, are any of them doing well? which company is doing better?
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Company X is competing with company Y. These are their ratios:
x | y |
Debt Ratio = .437 | Debt Ratio = .599 |
Debt Equity Ratio = .453 | Debt Equity Ratio = .965 |
Interest Earned = 15.854 | Interest Earned = 5.67 |
Based on Long-Term Debt paying ability, are any of them doing well? which company is doing better?
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- RATIO ANALYSIS The Corrigan Corporation's 2017 and 2018 financialstatements follow, along with some industry average ratios.a. Assess Corrigan's liquidity position, and determine how itcompares with peers and how the liquidity position has changedover time.b. Assess Corrigan's asset management position, and determinehow it compares with peers and how its asset managementefficiency has changed over time.c. Assess Corrigan's debt management position, and determinehow it compares with peers and how its debt management haschanged over time.d. Assess Corrigan's profitability ratios, and determine how theycompare with peers and how its profitability position has changedover time.e. Assess Corrigan's market value ration, and determine how itsvaluation compares with peers and how it has changed over time.Assume the firm's debt is priced at par, so the market value of itsdebt equals its book value. f. Calculate Corrigan's ROE as well as the industry average ROE,using this DuPont equation. From…Assuming Target’s industry had an average current ratio of 1.0 and an average debtto equity ratio of 2.5, comment on Target’s liquidity and long-term solvency.Hello, having some trouble with my accounting homework. There are drop down boxes for question 2, and here are the options: Dropdown box #1: Both companies' debt-paying abilities are (medium, strong, weak). Dropdown box #2: From the standpoint of leverage (debt) (the companies are about equal, BestBuy is stronger, Modern is stronger). Dropdown box #3: (Modern has a stronger times-interest-earned ratio, The times-interest-earned ratios are about equal for both companies, Best Buy has a stronger times-interest-earned ratio). Also, the financial information needed is listed on the right. Thank you so so much, really struggling with this concept.
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