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Business, 22.11.2019 05:31 galaalexa

An analyst is evaluating two companies, a and b. company a has a debt ratio of 50% and company b has a debt ratio of 25%. in his report, the analyst is concerned about company b's debt level, but not about company a's debt level. which of the following would best explain this position? (a) company b has much higher operating income than company a.(b) company a has a lower times interest earned ratio and thus the analyst is not worried about the amount of debt.(c) company b has a higher operating return on assets than company a, but company a has a higher return on equity than company b.(d) company b has more total assets than company a.

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An analyst is evaluating two companies, a and b. company a has a debt ratio of 50% and company b has...

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