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How does company x default risk

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Problem 1: Company X has current assets worth $750,000 and current liabilities worth $550,000. Company Y has current assets worth $800,000 and current liabilities worth $600,000. What is Company X's current ratio, and how does Company X's default risk compare to that of Company Y?

a. 1.33; Higher default risk
b. 1.36; Lower default risk
c. 1.36; Higher default risk
d. 1.33; Lower default risk

Reference no: EM132645912

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