1. The information below is excerpted from the financial statements of two companies active in the retail industry. Use this information and the proper financial ratio(s) to answer the following questions. Show your calculations. You may (or may not) need to fill in missing information.

in $ Millions	Company X	Company Y
Net Revenues	37296	107958
Net Income	1188	3526
Accounts Receivable	19908	910
Total Current Assets
Total Current Liabilities	15370	127708
Total Liabilities	32433	26494
Total Stockholders Equity	4500	14000

Footnote: Approximately 98% of Company Ys account receivables are from unpaid balances carried by customers using the store credit card.

A) Which company is better positioned to pay its bills in the short-run (i.e., is more liquid and less risky in the short-term)? Justify using appropriate ratio(s).

B) Is one company significantly more profitable than the other? Justify using at least 2 appropriate ratio(s).

C) Which company is more leveraged? Justify using appropriate ratio(s).