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The following information was drawn from the balance sheets of the Kansas and Montana companies Current assets Current liabilities Kansas $42,000 21,000 Montana $42,000 8,400

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The following information was drawn from the balance sheets of the Kansas and Montana companies Current assets Current liabilities Kansas $42,000 21,000 Montana $42,000 8,400 Required a. Compute the current ratio for each company b. Which company has the greater likelihood of being able to pay its bills? c. Assume that both companies have the same amount of total assets. Speculate as to which company would produce the higher return-on-assets ratio Complete this question by entering your answers in the tabs below. Required A Required B Required C Compute the current ratio for each company (Round your answers to 2 decimal places.) Kansas Montana Current Ratio to 1 to 1 Complete this question by entering your answers in the tabs below. Required A Required Required -3001 Hin Which company has the greater likelihood of being able to pay its bills? AK Point Which company has the greater likelihood of being able to pay its bills ? neancho c. Assume that both companies have the same amount of total assets. Speculate as to which company would produce the hig return-on-assets ratio. Complete this question by entering your answers in the tabs below. Required A Required Required Assume that both companies have the same amount of total assets. Speculate as to which company would produce the higher return-on-assets ratio. Which company would produce the higher return on assets ratio

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