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What do the following data taken from a comparative

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Reference no: EM13569012

What do the following data taken from a comparative balance sheet indicate about the company's ability to borrow additional funds on a long-term basis in the current year as compared to the preceding year?

 

Current Year

Preceding Year

Fixed assets (net)

$300,000

$300,000

Total long-term liabilities

100,000

120,000

Reference no: EM13569012

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