b. Compute the current ratio for each company, Round to one decimal place. Amazon: Best Buy: c. Compute the quick ratio for each company. Round to one decimal place. Amazon: Best Buy: d. Can the working capital be usefully compared between the two companies? Which of the following statements is correct. e. Which company has the greater debt-paying ability according to the current ratio? f. Which company has the greater short-term debt-paying ability according to the quick ratio? 9. Why are the results different between (e) and (f)? (Hint: Perform a vertical analysis of the current assets.) Round to one decimal place. d. Can the working capital be usefully compared between the two companies? Which of the following statements is correct. e. Which company has the greater debt-paying ablity according to the current ratio? f. Which company has the greater short-term debt-paying ability according to the quick ratio? 9. Why are the results different between (e) and ( f )? (Hint: Perform a vertical analysis of the current assets.) Round to one decimal place. Amazon has % of its current assets consisting of cash and short-term investments, compared to % for Best Buy, This difference will Amazon's quick ratio relative to Best Buy's. Best Buy has 51.1% of its current assets in inventory, while Amazon only has 25.0% of current assets in inventory. This difference reflects Amazon's pure Internet strategy, which causes the current ratio to be than Best Buy's. It also causes the relationship between the current and quick ratios to diverge between the two companies. Analyze and compare Amazon.com to Best Buy Amazon.com, Inc. (AMZN) is one of the fargest Internet retailers in the world. Best Buy, Co. Inc. (BBY) is a leading retailer of consumer electronics and media products in the United States. Amazon and Best Buy compete in similar markets; however, Best Buy sells through both traditional retail stores and the internet, while Amazon selis only through the Internet. Current asset and current liability information from recent financial statements are as follows (in milions): a. Compute working capital for each company. Amazon: s Best Buy: 5 b. Compute the current ratio for each company. Round to one decimal place