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. Calculate and present the following ratios for Impala at December 31, Year 2 using (a) the RM-denominated financial statements, (b) the U.S.-dollar financial statements
. Calculate and present the following ratios for Impala at December 31, Year 2 using (a) the RM-denominated financial statements, (b) the U.S.-dollar financial statements in No. 1 above, and (c) the U.S.-dollar financial statements in No. 2 above:
Current Ratio
Total Liabilities to Total Equity
Profit Margin (Net Income/Sales)
What relationships are apparent in these calculations? In other words, which method (Current or Temporal) provides results that are more consistent with ratios calculated using the foreign currency? Explain.
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