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Selected hypothetical financial data of Target and Wal-Mart for 2022 are presented here (in millions). Target Corporation Wal-Mart Stores, Inc. Income Statement Data for Year

Selected hypothetical financial data of Target and Wal-Mart for 2022 are presented here (in millions).

Target Corporation

Wal-Mart Stores, Inc.

Income Statement Data for Year

Net sales

$67,000

$410,000

Cost of goods sold

44,000

302,000

Selling and administrative expenses

14,300

81,000

Interest expense

700

2,000

Other income (expense)

(85

)

(390

)

Income tax expense

1,400

7,000

Net income

$ 6,515

$ 17,610

Balance Sheet Data (End of Year)

Current assets

$17,000

$49,000

Noncurrent assets

27,500

122,000

Total assets

$44,500

$171,000

Current liabilities

$10,000

$55,000

Long-term debt

18,200

44,000

Total stockholders equity

16,300

72,000

Total liabilities and stockholders equity

$44,500

$171,000

Beginning-of-Year Balances

Total assets

$43,000

$164,000

Total stockholders equity

13,200

64,000

Current liabilities

10,300

56,000

Total liabilities

29,800

100,000

Other Data

Average net accounts receivable

$7,400

$3,800

Average inventory

6,900

33,000

Net cash provided by operating activities

6,000

27,300

Capital expenditures

1,800

11,700

Dividends

520

3,900

For each company, compute the following ratios. (Round current ratio answers to 2 decimal places, e.g. 15.50, debt to assets ratio and free cash flow answers to 0 decimal places, e.g. 5,275 and all answers to 1 decimal place, e.g. 1.8 or 1.83%.)

Ratio

Target

Wal-Mart

(1)

Current ratio

enter the current ratio

:1

enter the current ratio

:1
(2)

Accounts receivable turnover

enter accounts receivable turnover in times

times

enter accounts receivable turnover in times

times
(3)

Average collection period

enter average collection period in days

days

enter average collection period in days

days
(4)

Inventory turnover

enter inventory turnover in times

times

enter inventory turnover in times

times
(5)

Days in inventory

enter days in inventory ratio

days

enter days in inventory ratio

days
(6)

Profit margin

enter percentages

%

enter percentages

%
(7)

Asset turnover

enter asset turnover in times

times

enter asset turnover in times

times
(8)

Return on assets

enter percentages

%

enter percentages

%
(9)

Return on common stockholders equity

enter percentages

%

enter percentages

%
(10)

Debt to assets ratio

enter percentages

%

enter percentages

%
(11)

Times interest earned

enter times interest earned

times

enter times interest earned

times
(12)

Free cash flow

$enter a dollar amount

$enter a dollar amount

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