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0 Question 11 Review the financial ratios of company X and its competitor and fill in the blanks: Company X Competitor ROE (%) 22.5 36

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0 Question 11 Review the financial ratios of company X and its competitor and fill in the blanks: Company X Competitor ROE (%) 22.5 36 ROA (%) 18 12 Debt-to-Equity 0.25 2 Current Ratio 1.3 1.5 Quick Ratio 0.8 0.3 Net Profit Margin (%) 15 16 Financial Leverage 1.25 3 Interest Coverage 20 0.5 Total Asset Turnover 1.2 0.75 Days of Sales Outstanding 27 16 Days of Inventory Outstanding 32 24 Select) has used more debt to finance its assets, le, has used greater financial leverage. This company seemed to have Select liquid assets to cover its short-term liabilities and have | Select) operating profits to cover its interest expense

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