Presented below are condensed financial statements adapted from those of two actual companies competing as the primary players in a specialty area of the food manufacturing and distribution industry. ($ in millions, except per share amounts.)

Balance Sheets
	Metropolitan		Republic
Assets
Cash	$	297.3			$	43.5
Accounts receivable (net)		525.7				431.0
Short-term investments						8.6
Inventory		576.4				732.2
Prepaid expenses and other current assets		231.6				591.7
Current assets	$	1,631.0			$	1,807.1
Property, plant, and equipment (net)		2,714.2				2,750.3
Intangibles and other assets		314.3				619.0
Total assets	$	4,659.5			$	5,176.4
Liabilities and Shareholders Equity
Accounts payable	$	589.9			$	798.2
Short-term notes		325.1				659.4
Accruals and other current liabilities		697.2				633.5
Current liabilities	$	1,612.2			$	2,091.1
Long-term debt		663.6				667.3
Deferred tax liability		489.6				720.7
Other long-term liabilities		229.0				209.1
Total liabilities	$	2,994.4			$	3,688.2
Common stock (par and additional paid-in capital)		243.9				452.0
Retained earnings		2,580.9				1,705.9
Less: Treasury stock		(1,159.7	)			(669.7	)
Total liabilities and shareholders equity	$	4,659.5			$	5,176.4
Income Statements
Net sales	$	5,807.0			$	7,874.2
Cost of goods sold		(2,808.0	)			(4,374.7	)
Gross profit	$	2,999.0			$	3,499.5
Operating expenses		(1,630.7	)			(2,918.2	)
Interest expense		(91.8	)			(43.6	)
Income before taxes	$	1,276.5			$	537.7
Income tax expense		(283.7	)			(.9	)
Net income	$	992.8			$	538.6
Net income per share	$	.5			$	8.0