Part 1 of 2 : company A and B are in the same industry and very close strategies so we can assume they have the same operating risk. If Company A has a return sales of 10% and of company B has a sales return of8%. which firm has the more differential product?

Part 2 of 2;

Continuing with company A and B from the prior problem if Company A turns invested capital to 1.6 times and Company B turns its invested capital to 2.0 times which company is more efficient in its operations?

Company C has a charge coverage ratio of 5 times Company D has a charge coverage ratio of 4 times. Looking at the ratio's which company is in a better financial condition?