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Suppose selected financial data of Target and Wal-Mart for 2019 are presented here (in millions). For each company, compute the following ratios. (Round all answers
Suppose selected financial data of Target and Wal-Mart for 2019 are presented here (in millions).
For each company, compute the following ratios. (Round all answers to 2 decimal places, e.g. 1.85 or 1.85%.)
Suppose selected financial data of Target and Wal-Mart for 2019 are presented here (in millions). Net sales Cost of goods sold Selling and administrative expenses Interest expense Other income (expense) Income tax expense Net income Target Wal-Mart Corporation Stores, Inc. Income Statement Data for Year $65,500 $406,000 46,000 305,000 15,100 77,000 720 2,000 (70) (410) 1,500 7,500 $2,110 $14,090 Current assets Noncurrent assets Balance Sheet Data (End of Year) $16,000 $46,000 26,400 121,000 $42,400 $167,000 Total assets Current liabilities Long-term debt Total stockholders' equity Total liabilities and stockholders' equity $12,000 18,400 12,000 $42,400 $54,000 45,000 68,000 $167,000 Total assets Total stockholdersequity Current liabilities Total liabilities Beginning-of-Year Balances $43,000 $163,000 14,100 66,000 10,800 57,000 28,900 97,000 Average net accounts receivable Average inventory Net cash provided by operating activities Capital expenditures Dividends Other Data $7,600 6,800 5,900 1,700 520 $4,100 34,000 26,300 11,500 3,700 For each company, compute the following ratios. (Round all answers to 2 decimal places, e.g. 1.85 or 1.85%.) Ratio Target Wal-Mart (1) Current ratio 1.3 :1 .85 (2) Accounts receivable turnover 8.6 times 99 times (3) Average collection period 42.4 days 3.7 days (4) Inventory turnover 6.8 times times (5) Days in inventory 53.7 days 40.6 days (6) Profit margin 3.2 % 3.5 % (7) Asset turnover 1.5 times 2.4 times (8) Return on assets 5 8.4 (9) Return on common stockholders' equity 11.3 15.8 (10) Debt to assets ratio 67.2 % 59.5 (11) Times interest earned 6 times 11.8 times (12) Free cash flow 4200 14800Step by Step Solution
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