The following selected information was taken from Barrick Gold Corporation's financial statements (in U.S. $ millions):

Instructions
(a) Calculate each of the following ratios for 2012 and 2011. Industry ratios are shown in parentheses.
1. Current ratio (2012, 2.3:1; 2011, 2.4:1)
2. Receivables turnover (2012, 19.0 times; 2011, 19.1 times)
3. Inventory turnover (2012, 3.7 times; 2011, 4.0 times)
4. Debt to total assets (2012, 20.6%; 2011, 20.6%)
5. Times interest earned (2012, 17.3 times; 2011, 18.9 times)
(b) Based on your results in part (a), comment on Barrick Gold's liquidity and solvency.
(c) Barrick Gold has three pages of disclosure in the notes to its statements about pending litigation. Discuss the implications of this information for your analysis.

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2012 20112010 Accounts recelvable Inventory Total current assets Total assets Current liabilities Total liabilitles S 449 2,695 5,863 47,282 4,415 22,774 S 426 2,498 6,545 48,884 2,911 23,330 s 370 1,798 7,071 34,637 2,491 13,420 Income statement Net sales Cost of goods sold Interest expense Income tax expense (recovery) Profit (loss) $14,547 7,654 1423611.001 $14,236 6,240 199 2,287 4,537 5,162 180 1,561 3,630 (236) (677)