Selected financial data for a recent year for two discount retail chains, Walmart Stores, Inc. and Costco

Question:

Selected financial data for a recent year for two discount retail chains, Walmart Stores, Inc. and Costco Wholesale Corporation, are presented here (in U.S. $ millions, except for share price):

Selected financial data for a recent year for two discount

Instructions
(a) For each company, calculate the following values and ratios. Where available, industry averages have been included in parentheses.
1. Working capital (n/a)
2. Current ratio (1.2:1)
3 Debt to total assets (74%)
4. Basic earnings per share (n/a)
5. Price-earnings ratio (26.4 times)
(b) Compare the liquidity, solvency, and profitability of the two companies and their industry.

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Related Book For  book-img-for-question

Financial Accounting Tools for Business Decision Making

ISBN: 978-1119368458

7th Canadian edition

Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso, Barbara Trenholm, Wayne Irvine

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