Question
Selected financial data of ABC and XYZ for a recent year are presented here (in millions). ABC XYZ Corporation Stores, Inc. Income Statement Data for
Selected financial data of ABC and XYZ for a recent year are presented here (in millions). ABC XYZ Corporation Stores, Inc. Income Statement Data for Year Net sales $61,457 $374,725 Cost of goods sold 41,807 286,838 Selling and administrative expenses 16,235 70,618 Interest expense 638 1,755 Other income (expense) 1,810 4,281 Income tax expense 1,602 6,802 Net income $ 2,985 $ 12,993 Balance Sheet Data (End of Year) Current assets $18,634 $47,096 Noncurrent assets 25,651 115,590 Total assets $44,285 $162,686 Current liabilities $ 12,054 $ 58,435 Long-term debt 17,660 40,626 Total stockholders' equity 14,571 63,625 Total liabilities and stockholders' equity $44,285 $162,686 Beginning-of-Year Balances Total assets $37,210 $151,852 Total stockholders' equity 15,859 61,914 Current liabilities 11,577 51,934 Total liabilities 22,003 89,754 Other Data Average net receivables $6,654 $ 2,892 Average inventory 6,958 34,382 Net cash provided by operating activities 4,145 20,101 Instructions For each company, compute the following ratios. (Round answers to 2 decimal places, e.g. 10.50.) ABC XYZ (1) Current :1 :1 (2) Receivables turnover (3) Average collection period (4) Inventory turnover (5) Days in inventory (6) Profit margin % % (7) Asset turnover (8) Return on assets % % (9) Return on common stockholders' equity % % (10) Debt to total assets % % (11) Times interest earned
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