Use the Following Information for the Question(s)that Follow

question 3

Multiple Choice

Use the following information for the question(s) that follow.
Company X and Company Y are in the same industry and have the following ratios.
-Based on the information above, we can conclude that

• A)company Y is more financially conservative than company X.
• B)company Y is more liquid than company X.
• C)company Y is reinvesting a higher percentage of its earnings in the business than company X.
• D)company Y is using assets less efficiently than company X.

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The legal ability of a person to enter into a binding agreement, often requiring the individual to be of a certain age and sound mind.