Question
Please help and thank you. Suppose selected financial data of Target and Wal-Mart for 2014 are presented here (in millions). (a) For each company, compute
Please help and thank you.
Suppose selected financial data of Target and Wal-Mart for 2014 are presented here (in millions). (a) For each company, compute the following ratios. (Round all answers to 2 decimal places, e.g. 1.83 or 12.61%.) & (b) Compare the liquidty,solvency,&profitability of each company.
(1) Current ratio. :1 :1
(2) Accounts receivable turnover. times times
(3) Average collection period. days days
(4) Inventory turnover. times times
(5) Days in inventory. days days
(6) Profit margin. % %
(7) Asset turnover. times times
(8) Return on assets. % %
(9) Return on common stockholders equity. % %
(10) Debt to assets ratio. % %
(11) Times interest earned. times times
(12) Current cash debt coverage. times times
(13) Cash debt coverage. times times
(14) Free
Target Corporation | Wal-Mart Stores, Inc. | |||||
Income Statement Data for Year | ||||||
Net sales | $65,357 | $408,214 | ||||
Cost of goods sold | 45,583 | 304,657 | ||||
Selling and administrative expenses | 15,101 | 79,607 | ||||
Interest expense | 707 | 2,065 | ||||
Other income (expense) | (94) | (411) | ||||
Income tax expense | 1,384 | 7,139 | ||||
Net income | $ 2,488 | $14,335 | ||||
Balance Sheet Data (End of Year) | ||||||
Current assets | $18,424 | $48,331 | ||||
Noncurrent assets | 26,109 | 122,375 | ||||
Total assets | $44,533 | $170,706 | ||||
Current liabilities | $11,327 | $55,561 | ||||
Long-term debt | 17,859 | 44,089 | ||||
Total stockholders equity | 15,347 | 71,056 | ||||
Total liabilities and stockholders equity | $44,533 | $170,706 | ||||
Beginning-of-Year Balances | ||||||
Total assets | $44,106 | $163,429 | ||||
Total stockholders equity | 13,712 | 65,682 | ||||
Current liabilities | 10,512 | 55,390 | ||||
Total liabilities | 30,394 | 97,747 | ||||
Other Data | ||||||
Average net accounts receivable | $7,525 | $4,025 | ||||
Average inventory | 6,942 | 33,836 | ||||
Net cash provided by operating activities | 5,881 | 26,249 | ||||
Capital expenditures | 1,729 | 12,184 | ||||
Dividends | 496 | 4,217 |
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