unit 5 dq accounting - ability to pay for its short-term...

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Hello professor and class, The two companies’ I have chosen are Wal-Mart and Kmart. The similarities between the two companies are that the capital structure is almost identical. However, Wal-Mart has more profits. The fixed cost coverage of Wal-Mart’s ratio is around 10.2, which is better than Kmart’s ratio. While Kmart covers its fixed charges by a low margin of safety, the company may face difficulties if it wants to borrow more money. When it comes to liquidity ratios, Kmart has the
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Unformatted text preview: ability to pay for its short-term debts. Sources; Ratio case study www.slideshare.net/. ../introduction-to-fa3909-and-problem-set-1-ca Wal-Mart Stores Inc - Company Financial Statements www.moneycentral.msn.com/investor/invsub/results/statemnt Sears Holdings Investor Information www.searsholdings.com/invest/...
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