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In Each of the Following Cases, Explain Briefly Which of the Two

question 76

Essay

In each of the following cases, explain briefly which of the two companies is likely to be characterized by the higher ratio.
a. Debt-equity ratio: an electronics store or a tour operator
b. Payout ratio: BigBookstore or HomeRobots
c. Ratio of sales to assets: a restaurant or a car rental company
d. Average collection period: The Power Company or Joe's FastFood


Definitions:

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The state of having sufficient personal wealth to live, without needing to work actively for basic necessities. It implies having a financial strategy that allows for living without ordinary income.

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