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1. For both companies, calculate the following items for 2021; Cash conversion ratio (operating cash flow/ EBITDA) Net income less operating and investing cash flow

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1. For both companies, calculate the following items for 2021;

  • Cash conversion ratio (operating cash flow/ EBITDA)
  • Net income less operating and investing cash flow
  • Average total assets less cash & equivalents
  • Accruals ratio
2. Interpret the results of accrual ratio (AR) of each company
3. Based on your calculations, is Company A managed its information more than Company B? Explain your answer?
Q4 EM Q4 EM

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