Compute Liquidity and Solvency Ratios for Competing Firm

Compute Liquidity and Solvency Ratios for Competing Firms Halliburton and Schlumberger compete in the oil field services sector. Refer to the following 2018 financial data for the two companies to answer the requirements. $ millions Cash and equivalents Short-term investments Accounts receivable Current assets Current liabilities Total liabilities HAL SLB $2,008 $1,433 - 1,344 5,234 7,881 11,151 15,731 4,802 13,486 16.438 33,921 Total equity Earnings before interest and tax (EBIT) Interest expense, gross 9,544 36,586 2,467 3,050 554 537 a. Compute the following measures for both companies. Note: Round your final answers to two decimal places (for example, enter 6.78 for 6.77555). 1. Current ratio 2. Quick ratio 3. Times interest earned 4. Liabilities-to-equity HAL 2.23 X 1.49 X 4.63 x 1.66 x SLB 1.12 x 0.78 x 5.91 x 0.89 X b. Which company appears more liquid? HAL. c. Which company appears more solvent? SLB