The equivalence of the 2 expressions above has been explained by previous posters.
By simplification, I wonder if you mean produce an equivalent expression that will be more likely to compute without causing register overflow for factorials of large numbers ? Or do you just want to simplify it in a purely mathematical sense, i.e. write it in its most simple form ? If the former, it's best to write it as a product of a series of quotients. In the case of the expression ${\binom{m}{k}},$ this works out as the product of k individual quotients.
For the full deal, i.e. ${\binom{m}{k}\over\binom{n}{k}},$ you also have a similar number of quotients under the line. So the overall ratio also works out as the product of k quotients, each of which will not be too big a number. Computing this, the m, n and k are transformed to floating point before evaluating each quotient and then forming the product of all k of them. The result is then rounded to give the true integer result.
If the latter, I do not know of a simpler form, except perhaps mPk / nPk (mPk = number of k sized permutations possible for m objects). But this does not look much better.
You could also develop the right hand side of the equivalence above and get : $\frac{\displaystyle{\frac{m!}{n!}}}{\displaystyle{\hspace 5pt\frac{(m-k)!}{(n-k)!}}\hspace 5pt}$
This then reduces to $\frac{m(m-1)(m-2)\cdots(m-n+1)}{(m-k)(m-k-1)(m-k-2)\cdots(m-n+1)}$
which is a product of (m-n) individual quotients.
$\prod_{i=0, j=0}^{i=n-1, j=n-k-1}\frac{m-i}{m-k-j}$
So you just loop through this process for (m-n) times, each time calculating each quotient and multiplying it to the existing product. If m and n are both much bigger than k, then there should be less computations doing it this way as well as less risk of register overflow.
Anyone knowing Latex better than me please edit this mess.
While it's a bit simplified computationally, it's been complicated expressionally . . .