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Ratio analysis of Lehman Brothers prior to its bankruptcy reveals significant financial distress. Key ratios, such as the debt-to-equity ratio, indicated high leverage, suggesting the firm was heavily reliant on debt financing. Additionally, liquidity ratios like the current ratio and quick ratio highlighted deteriorating liquidity, reflecting its inability to meet short-term obligations. Overall, these ratios painted a picture of a company facing severe financial instability, ultimately leading to its collapse in September 2008.

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