6.4 Financial statement detective exercise in the pharmaceutical industry Exhibit 6.5 presents common-size income statements and balance sheets for seven firms that operate at various stages in the value chain for the pharmaceutical industry. (The companies are real, but the names have been disguised.) These common-size statements express all amounts as a percentage of sales revenue. Exhibit 6.5 also shows the cash flow from operations to capital expenditures ratio for each firm. A dash for a particular financial statement item does not necessarily mean that the amount is zero. It merely indicates that the amount is not disclosed. The seven companies and a brief description of their activities follow. Required Match the financial statements with the company described below. Give the reasons for your choice. Be as specific as possible in explaining why you chose a particular set of financial statements for one of the below companies. 1. Wilson Pharma: Engages in the development, manufacture, and sale of ethical drugs (i.e., drugs requiring a prescription). Ethical drug companies must obtain approval of new drugs from government regulators, such as the US Food and Drug Administration (FDA). Patents protect such drugs from competition until either other drug companies develop more effective products or the patent expires. 2. American Biotech: Engages in the development, manufacture, and sale of drugs based on