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You are analyzing the cash flow from operations ratio of two major tech companies, Google and Amazon, for the fiscal year ended December 31, 2023.

You are analyzing the cash flow from operations ratio of two major tech companies, Google and Amazon, for the fiscal year ended December 31, 2023. Below are the relevant financial data:

For Google:

  • Operating cash flow: $30 billion
  • Net sales revenue: $100 billion

For Amazon:

  • Operating cash flow: $40 billion
  • Net sales revenue: $200 billion

Requirements:

  1. Calculate the cash flow from operations ratio for both Google and Amazon.
  2. Compare the cash flow from operations ratios of Google and Amazon.
  3. Discuss the implications of the cash flow from operations ratios in assessing the operational efficiency of both companies.

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