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There are two firms. They were established at the same time with the same amount of capital. Firm A has assets of $10 million, liabilities
There are two firms. They were established at the same time with the same amount of capital. Firm A has assets of $10 million, liabilities of $2 million, and equity of $8 million. Firm B has assets of $15 million, liabilities of $8 million, and equity of $7 million. Based only on these numbers, which firm performed better?
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