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Return on Equity (Profitability) AAPL-US: 39.00 /MSFT-US: 28.59 Price to Earnings (Valuation) AAPL-US: 13.98 /MSFT-US: 16.81 Quick Ratio (Liquidity) AAPL-US: 1.36 / MSFT-US: 2.53 Total

Return on Equity (Profitability) AAPL-US: 39.00 /MSFT-US:28.59 Price to Earnings (Valuation)AAPL-US: 13.98 /MSFT-US: 16.81 Quick Ratio (Liquidity)AAPL-US: 1.36 / MSFT-US: 2.53 Total Asset Turnover (Operating Efficiency)AAPL-US: 0.96 /MSFT-US: 0.60 Total Debt to Total Assets (Leverage)AAPL-US: 9.12 /MSFT-US: 12.94

Describe how the five previously mentioned ratios are calculated and their significance. Compare the two companies that you have selected based on these five ratios and their 5-10 year historical trends. Which of the two companies do youthink would be a better investment and WHY?

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