Table 4.1 (pp. 81-83) provides a compilation of the financial ratios most commonly used to evaluate a companys financial performance and balance sheet strength. Using the formulas in Table 4.1 and Costcos financial statement starting on page 110, calculate the following measures of financial performance for 2012 and 2013. Be sure to report items (a) through (e) in percentages (i.e. multiply your result x 100).

a.	Gross profit margin.
b.	Operating profit margin.
c.	Net profit margin.
d.	Return on stockholders equity.
e.	Return on assets.
f.	Times-interest-earned (or coverage) ratio.
g.	Debt-to-equity ratio.
h.	Days of inventory.
i.	Inventory turnover ratio.
	j. Average collection period. Consolidated Statements of Income for Costco Wholesale Corporation, 20122013 (in millions, except per share data) 2013 2012 Revenue Net sales ................................................................ $102,870 $97,062 Membership fees ............................................... 2,286 2,075 Total revenue ................................................. 105,156 99,137 Operating Expenses Merchandise costs ..... $ 91,948 $86,823 Selling, general, and administrative ............... 10,104 9,518 Preopening expenses ..................................... 51 37 Operating income .............................................. 3,053 2,759 Other income (expense) Interest expense ......... (99) (95) Interest income and other, net ............................... 97 103 Income before income taxes ............................ 3,051 2,767 Provision for income taxes....................................... 990 1,000 Net income including noncontrolling interests ...... 2,061 1,767 Net income attributable to noncontrolling interests ...... (22) (58) Net income attributable to Costco ................... $ 2,039 $ 2,039 $ 1,709 Net income per common share attributable to Costco: Basic ................................................................ $ 4.68 $ 3.94 Diluted .............................................................. $ 4.63 $ 3.89 Shares used in calculation (000s) Basic......... 435,741 433,620 Diluted........ 440,512 439,373 Assets Current Assets Cash and cash equivalents ......................................... $ 4,644 $ 3,528 Short-term investments ........................ 1,480 1,326 Receivables, net .................................. 1,201 1,026 Merchandise inventories ................................ 7,894 7,096 Deferred income taxes and other current assets ........ 621 550 Total current assets ....................................... $15,840 $13,526 Property and Equipment Land .................... $ 4,409 $ 4,032 Buildings and improvements ........................ 11,556 10,879 Equipment and xtures ............................... 4,472 4,261 Construction in progress .................................... 585 374 ...................................................................21,022 19,546 Less accumulated depreciation and amortization ....... (7,141) (6,585) Net property and equipment ........................ 13,881 12,961 Other assets ..................................................... 562 653 Total assets .............................................. $30,283 $ 27,140 Liabilities and Equity Current Liabilities Accounts payable ....................................................... $ 7,872 $ 7,303 Accrued salaries and benets ......................... 2,037 1,832 Accrued member rewards ........................................... 710 661 Accrued sales and other taxes ................................... 382 397 Deferred membership fees .................................. 1,167 1,101 Other current liabilities ................................................ 1,089 966 Total current liabilities .......................................... 13,257 12,260 Long-term debt, excluding current portion ............ 4,998 1,381 Deferred income taxes and other liabilities ................. 1,016 981 Total liabilities .................................................. $19,271 $14,622 Commitments and Contingencies Equity Preferred stock $.005 par value; 100,000,000 shares authorized; no shares issued and outstanding 0 0 Common stock $.005 par value; 900,000,000 shares authorized; 436,839,000 and 432,350,000 shares issued and outstanding 2 2 Additional paid-in capital ........................... $ 4,670 $ 4,369 Accumulated other comprehensive (loss) income ... (122) 156 Retained earnings ................................................... 6,283 7,834 Total Costco stockholders equity ................... 10,833 12,361 Noncontrolling interests ........................................... 179 157 Total equity ...................................................... 11,012 12,518 Total Liabilities and Equity ..................... $30,283 $27,140