Sneider Company has long-term debt of $500,000, while Abbott Company has longterm debt of $50,000. Which of the following statements best represents an analysis of the long-term debt position of these...

Sneider Company has long-term debt of $500,000, while Abbott Company has longterm debt of $50,000. Which of the following statements best represents an analysis of the long-term debt position of these two firms? 1. Sneider Company’s times interest earned should be lower than Abbott Company’s. 2. Abbott Company’s times interest earned should be lower than Sneider Company’s. 3. Abbott Company has a better long-term borrowing ability than does Sneider Company. 4. Sneider Company has a better long-term borrowing ability than does Abbott Company. 5. None of the above.