Marriott International, Inc., and Hilton Hotels Corporation are two major owners and managers of lodging and resort properties in the United States.

Abstracted income statement information from the two companies is as follows for a recent year:

Balance sheet information is as follows:

The average liabilities, stockholders' equity, and total assets were as follows:

1. Determine the following ratios for both companies (round to one decimal place after the whole percent):
a. Rate earned on total assets
b. Rate earned on total stockholders' equity
c. Number of times interest charges are earned
d. Ratio of liabilities to stockholders' equity

2. Analyze and compare the two companies, using the information in (1). Be sure to use at least 1 outside reference to support youranalysis.

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Marriott Hiltorn (in millions) (in millions) Operating profit before other expenses and interest Other income (expenses) Interest expense Income before income taxes Income tax expense Net income 1,011 S1.274 62 (498) 838 266 S608S572 (124) 894 286 Marriott Hilton (in millions) (in millions) Total liabilities Total stockholders' equity Total liabilities and stockholders' equity $5,970 2618 3.727 $8.588$16.481 $12.754 Average total liabilitie:s Average total stockholders' equity Average total assets Marriott Hilton S7,250 S9.343 2.935 3.269 6,933 12.612