Starwood Hotels & Resorts Worldwide and Wyndham Worldwide Corporation are two major owners and managers of lodging and resort properties in the United States. Financial data (in millions) for a recent year for the two companies are as follows:

The average liabilities, stockholders’ equity, and total assets were as follows:

1. Determine the following ratios for both companies (round to one decimal place after the whole percent):
a. Rate earned on total assets
b. Rate earned on total stockholders’ equity
c. Number of times interest charges are earned
d. Ratio of liabilities to stockholders’ equity
2. Analyze and compare the two companies, using the information in(1).

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Starwood Wyndham Income statement data: Interest expense Income before income tax expense Net income S 216 414 487 S 152 650 417 Balance sheet data: Total assets Total liabilities Total stockholders' equity 9,560 6,605 2,955 $9,023 6,791 2,232 Starwood had a tax credit (refund) Average total assets Average total liabilities Average total stockholders' equity Starwood 9,668 6,956 2,712 Wyndham $9,220 6,645 2,575