Given the following financial data for two firms in the computer industry.

Balance Sheet $($in thousands$)$

ABC Company XYZ Company

Cash $ $15$ $ $10$

A$/$R $5090$

Inventory $55117$

Plant$/$Equip$.150240$

Total assets $270457$

Current liab. $57$ $$101$

Bonds payable $75100$

Common stock $5070$

Retained earnings $88186$

Total $$270$ $$457$

Income Statement

$($In thousands$)$

ABC XYZ

Sales $$500$ $$700$

Cost of goods sold $300475$

Interest expense $78$

Income before taxes $80105$

Net Income $3242$

Tax rate $40\%40\%$

Other Selected Data

Dividends per share $ $2\mathrm{.}50$ $$2\mathrm{.}50$

Market Price year end $$70$ $$80$

Computer Industry $($Averages for $19$x$7)$

Current ratio $2\mathrm{.}1$ to $1$

Acid$-$test $($quick$)1\mathrm{.}1$ to $1$

Inventory turnover $5$ times

Debt$/$Equity $55\%$

Dividend Yield $2\mathrm{.}2\%$

ROA $9\%$

ROE $15\mathrm{.}5\%$

Compute the following ratios for each company: $1)$ current $2)$ acid$-$test $($quick$)3)$ inventory turnover $4)$ TIE $5)$ debt$-$to$-$equity ratio $6)$ ROA and $7)$ ROE. Using the ratios and the industry data, present conclusions regarding the attractiveness of the two companies?