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An analyst observes the following data for two companies. Company A ( in ) Company B ( in ) Revenue 4 , 5 0 0
An analyst observes the following data for two companies.
Company A in
Company B in
Revenue
Net Income
Current Assets
Total Assets
Current Liabilities
Total Debt
Shareholders Equity
What can be concluded from the information provided above regarding the companies ability to pay their current and longterm obligations, focusing on the current ratio and debtequity ratio? Which company should an investor lend their money to on the basis of the following information?
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