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Hide Full Description Marriott International, Inc., and Wyndham Worldwide Corporation are two major owners and managers of lodging and resort properties in the United States.

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Marriott International, Inc., and Wyndham Worldwide Corporation are two major owners and managers of lodging and resort properties in the United States. Abstracted income statement information for the two companies is as follows for a recent year:

x Marriott Wyndham
x (in millions) (in millions)
Operating profit before other expenses and interest $695 $718
Other income (expenses) 36 12
Interest expense (180) (167)
Income before income taxes $551 $563
Income tax expense 93 184
Net income $458 $379

Balance sheet information is as follows:

x Marriott Wyndham
x (in millions) (in millions)
Total liabilities $7,398 $6,499
Total stockholders equity 1,585 2,917
Total liabilities and stockholders equity $8,983 $9,416

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

x Marriott Wyndham
x (in millions) (in millions)
Average total liabilities $7,095 $6,582
Average total stockholders equity 1,363 2,802
Average total assets 8,458 9,384

1. Determine the following ratios for both companies (round to one decimal place after the whole percent):a. Rate earned on total assetsb. Rate earned on total stockholders equityc. Number of times interest charges are earnedd. Ratio of liabilities to stockholders equity2. Analyze and compare the two companies, using the information in (1)

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