Review the financial ratios of company X and its competitor and fill in the blanks.

Now fill in the blanks:

	Company X	Competitor
ROE (%)	48	54
ROA (%)	24	36
Debt-to-equity	1	0.5
Current ratio	1.47	1.25
Quick ratio	0.67	0.45
Net profit Margin (%)	12	24
Financial leverage	2	1.5
Interest coverage	55	35
Total asset turnover	2	1.5
Days of sales outstanding	27	16
Days of inventory outstanding	32	24

Now fill in the blanks:

(Company X OR Competitor) is operationally more effective, i.e., its assets are more profitable. This company out performs operationally because (its sales are more profitable OR it has used its assets more effectively for generating sales).

Note: I do not have access to excel. So please do not use it to answer this question. Please and thank you.