Among companies trading on the New York Stock Exchange and the Nasdaq, information technology companies offer high growth potential. Two technology companies, **NXP Semiconductors NV** ( ) and **NVIDIA Corp.** ( ), have strong

**Three ratios that determine asset efficiency and earnings quality**

Unlike the

The distribution of average current ratios across industries is slightly right-skewed with a median around -. Over 75% of industries have average current ratios within the "healthy range" of - to '. The distribution of average quick ratios across industries is slightly narrower than that of average current ratios, and the median average quick ratio is near -.5.

While it does not directly measure the company's efficient use of current assets, the Sloan ratio gives key information about the quality of a company's earnings. University of Michigan professor Richard Sloan researched the "accrual anomaly," a phenomenon that suggests that companies with minimal accruals outperform those with high accruals. The...

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