Please review the following ratios for Company A and Company B$,$ and then compare the two companies in the areas of liquidity, working capital management, profitability, financial leverage, and efficiency. What can you learn about these two companies?

Ratio

Company A

Company B

Current Ratio

$0\mathrm{.}91$

$0\mathrm{.}83$

Quick Ratio

$0\mathrm{.}29$

$0\mathrm{.}24$

Days$$ Sales Outstanding

$35$

$43$

Inventory Turnover

$6\mathrm{.}54$

$12\mathrm{.}23$

Gross Margin Percentage

$25\mathrm{.}38$

$24\mathrm{.}38$

Return on Assets

$7\mathrm{.}61$

$6\mathrm{.}26$

Return on Sales

$4\mathrm{.}9$

$8\mathrm{.}5$

Debt$/$Equity Ratio

$158\mathrm{.}17$

$73\mathrm{.}12$

Interest Coverage

$11\mathrm{.}04$

$10\mathrm{.}07$

Revenue per Employee

$258,824$

$308,631$