Look at Caterpillar (CAT) and Union Pacific (UNP), compare their sources of funds and financial structures. What factors might explain the difference in the companies' financing patterns? Union Pacific Income Statement View: Annual Data | Quarterly Data Period Ending 31-Dec-15 31-Dec-14 31-Dec-13 Total Revenue 21,813,000 23,988,000 21,963,000 Cost of Revenue 4,434,000 6,097,000 5,849,000 Gross Profit 17,379,000 17,891,000 16,114,000 Operating Expenses Research Development - - - Selling General and Administrative 7,315,000 7,234,000 6,891,000 Non Recurring - - - Others 2,012,000 1,904,000 1,777,000 Total Operating Expenses - - - Operating Income or Loss 8,052,000 8,753,000 7,446,000 Income from Continuing Operations Total Other Income/Expenses Net 226,000 151,000 128,000 Earnings Before Interest And Taxes 8,278,000 8,904,000 7,574,000 Interest Expense 622,000 561,000 526,000 Income Before Tax 7,656,000 8,343,000 7,048,000 Income Tax Expense 2,884,000 3,163,000 2,660,000 Minority Interest - - - Net Income From Continuing Ops 4,772,000 5,180,000 4,388,000 Non-recurring Events Discontinued Operations - - - Extraordinary Items - - - Effect Of Accounting Changes - - - Other Items - - - Net Income 4,772,000 5,180,000 4,388,000 Preferred Stock And Other Adjustments - - - Net Income Applicable To Common Shares 4,772,000 5,180,000 4,388,000 Caterpillar Income Statement View: Annual Data | Quarterly Data Period Ending 31-Dec-15 31-Dec-14 31-Dec-13 Total Revenue 47,011,000 55,184,000 55,656,000 Cost of Revenue 34,329,000 40,391,000 41,454,000 Gross Profit 12,682,000 14,793,000 14,202,000 Operating Expenses Research Development 2,165,000 2,135,000 2,046,000 Selling General and Administrative 7,261,000 7,330,000 6,528,000 Non Recurring - - - Others - - - Total Operating Expenses - - - Operating Income or Loss 3,256,000 5,328,000 5,628,000 Income from Continuing Operations Total Other Income/Expenses Net 106,000 239,000 -35,000 Earnings Before Interest And Taxes 3,362,000 5,567,000 5,593,000 Interest Expense 507,000 484,000 465,000 Income Before Tax 2,855,000 5,083,000 5,128,000 Income Tax Expense 742,000 1,380,000 1,319,000 Minority Interest -11,000 -16,000 -14,000 Net Income From Continuing Ops 2,102,000 3,695,000 3,789,000 Non-recurring Events Discontinued Operations - - - Extraordinary Items - - - Effect Of Accounting Changes - - - Other Items - - - Net Income 2,102,000 3,695,000 3,789,000 Preferred Stock And Other Adjustments - - - Net Income Applicable To Common Shares 2,102,000 3,695,000 3,789,000