Office Depot Inc. [ODP] and Staples Inc. [SPLS] both sell office products, supplies, and services. Using the liquidity ratios and asset management ratios, in addition to the firms’ financial statements, discuss the following questions:

a. Compare the firms’ liquidity positions.

b. Evaluate each firm with regard to the management of its current assets and current liabilities.

c. Based on your analysis in questions a and b, which firm has the more aggressive working capital policy? How would you characterize each firm’s working capital policy? Explain your answer.