Question

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

                              Target Corporation Wal-Mart stores,Inc

                              Income Statement   Datafor Year Net sales                       $67.000     $413,000 Cost of goods sold               44,000     301.000 Selling and administrative expenses          14,000       75,000 Interest expense                   660        2,200 Other income (expense)              (70        (410 ) Income tax expense                1400        7,000 Net income                       $6,870     $27.390                                    Balance Sheet Data                                      (End of Year) Current assets                  $17.000     $49,000 Noncurrent assets                26,000     123,000 Total assets                    $43,000     $172,000 Current liabilities             $10,000     $54,000 Long-term debt                   17.400      43,000 Total stockholders' equity       15.600      75,000 Total liabilities and stockholders' equity      $43,000      $172,000                                 Bginning-ofYear Balances Total assets                    $43,000     $162,000 Total stockholders' equity       14,100      64,000 Current liabilities              10.800      54,000 Total liabilities                28.900      98,000                                      Other Data Average net accountsreceivable   $7.800      $3,800 Averageinventory                  7.100      33,400 Net cash provided by operating activities       5,700       27.400 Capital expenditures              1,800      12,000 Dividends                          450        4,400

(8) Return on assets

(9) Retum on common stockholders'equity

(10) Debt to assets ratio

(11) Times interest earned

(12) Free cash flow

Answer 1

1. Ratio Analysis -