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1.Compute a recent five-year average of the following ratios for three companies of your choice (attempt to select diverse firms): a. Retention rate b. Net
1.Compute a recent five-year average of the following ratios for three companies of your choice (attempt to select diverse firms):
a. Retention rate
b. Net profit margin
c. Equity turnover
d. Total asset turnover
e. Total assets/equity
Based on these ratios, explain which firm should have the highest growth rate of earnings.
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