Examine the following selected financial information for

Best Value

Corporation and

Modern

Stores, Inc., as of the end of their fiscal years ending in

2018:

Data table

(In millions)		Best Value Corporation			Modern Stores, Inc.
1.	Total assets. . . . . . . . . . . . . . . . . . . . . . . . . .		$15,256			$203,110
2.	Total common stockholders' equity. . . . .		$3,075			$71,460
3.	Operating income. . . . . . . . . . . . . . . . . . . .		$1,350			$26,820
4.	Interest expense. . . . . . . . . . . . . . . . . . . . . .		$88			$2,020
5.	Leverage ratio. . . . . . . . . . . . . . . . . . . . . . . .
6.	Total debt. . . . . . . . . . . . . . . . . . . . . . . . . . . .
7.	Debt ratio. . . . . . . . . . . . . . . . . . . . . . . . . . . .
8.	Times interest earned. . . . . . . . . . . . . . . . .

Requirements

1.	Complete the table, calculating all the requested information for the two companies. Use year-end figures in place of averages where needed for the purpose of calculating the ratios in this exercise.
2.	Evaluate each company's long-term debt-paying ability (strong, medium, weak).