Selected financial data of Target (USA) and Wal-Mart Stores, Inc. (USA) for a recent year are presented below (in millions).

Instructions
(a) For each company, compute the following ratios.
(1) Current ratio.
(2) Accounts receivable turnover.
(3) Average collection period.
(4) Inventory turnover.
(5) Days in inventory.
(6) Profit margin.
(7) Asset turnover.
(8) Return on assets.
(9) Return on ordinary shareholders' equity.
(10) Debt to assets ratio.
(11) Times interest earned.
(b) Compare the liquidity, profitability, and solvency of the two companies?

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Target Corporation Wal-Mart Stores, Inc. Income Statement Data for Year Net sales Cost of goods sold Selling and administrative expenses Interest expense Other income (expense) Income tax expense Net income $72,596 51,160 16,816 1,126 (391) 1,132 1,971 $476,294 358,069 91,353 2,335 (410) 8,105 $ 16,022 Statement of Financial Position Data (End of Year) $32,980 11,573 $44,553 $16,231 15,545 12,777 $44,553 $143,566 61,185 $204,751 $81,339 54,067 69,345 $204,751 Non-current assets Current assets Total assets Total equity Non-current liabilities Current liabilities Total equity and liabilities Total assets Total equity Current liabilities Total liabilities Beginning-of-Year Balances $203,105 81,738 71,818 131,287 $48,163 16,558 14,031 31,605 Other Data Average net accounts receivable Average inventory Net cash provided by operating activities $2,921 8,335 6,520 $6,723 44,331 23,257