Target Corporation Wal-Mart Stores, Inc. Income Statement Data for Year Net sales $66,900 $419,000 Cost of goods sold 45,000 309,000 Selling and administrative expenses 15,000 80,000 Interest expense 700 1,900 Other income (expense) (80) (390) Income tax expense 1,500 6,700 Net income $ 4,620 $ 21,010 Balance Sheet Data (End of Year) Current assets $17,000 $45,000 Noncurrent assets 26,700 120,000 Total assets $43,700 $165,000 Current liabilities $11,000 $55,000 Long-term debt 18,200 45,000 Total stockholders' equity 14,500 65,000 Total liabilities and stockholders' equity $43,700 $ 165,000 Beginning-of-Year Balances Total assets $43,000 $165,000 Total stockholders' equity 12,600 64,000 Current liabilities 10,000 58,000 Total liabilities 30,400 101,000 Other Data Average net accounts receivable $7,700 $4,200 Average inventory 6,800 34,500 Net cash provided by operating activities 5,500 25,800 Capital expenditures 1,800 12,300 Dividends 490 4,200 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 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 1.80 :1 0.85 :1 (2) Accounts receivable turnover 8.30 times 101.95 times (3) Average collection period 43.96 days 3.58 days (4) Inventory turnover 6.34 times 9.09 times (5) Days in inventory 57.59 days 40.15 days (6) Profit margin 6.23 % 5.63 % (7) Asset turnover 1.49 times 2.49 times (8) Return on assets 9.27 % 14.13 % (9) Return on common stockholders' equity 25.89 % 33.60 (10) Debt to assets ratio 0.41 % 0.26 (11) Times interest earned 8.63 times 14.83 times (12) Free cash flow $ $