Company a Has Liabilities of $6,773,000 and Shareholders' Equity of $3,647,000

question 59

Essay

Company A has liabilities of $6,773,000 and shareholders' equity of $3,647,000 at the end of the current year,and sales revenue of $9,800,000 and net income of $899,080 for the year.Company B has assets of $1,680,000 and shareholders' equity of $978,750 at the end of the current year,and sales revenue of $1,950,000 and net income of $351,000 for the year.
A.Calculate the debt-to-assets and net profit margin ratios for each company.
B.Which company has greater financing risk?
C.Which company generates more profit per dollar of sales?

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Patients

Individuals receiving medical treatment or those under the care of a psychologist in the context of healthcare.

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A therapist who combines techniques and theories from various psychological orientations and traditions according to the client's individual needs.

Theories

Systematically organized principles or explanations proposed to understand phenomena and facilitate predictions in various disciplines.

Methods

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