Selected financial data for Tim Hortons and Starbucks are presented below for a recent year.

Instructions
(a) For each company, calculate the following ratios:
1. Current ratio
2. Receivables turnover
3. Inventory turnover
4. Operating cycle
5. Debt to total assets
6. Interest coverage
7. Gross profit margin
8. Profit margin
9. Asset turnover
10. Return on assets
11. Return on equity
(b) Compare the liquidity, solvency, and profitability of the two companies.
Taking It Further
How should other comprehensive loss be factored into your analysis above?
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Tim Hortons (in CAD$ millions) Starbucks (in US$ millions) omprehensive Income (Loss Total revenue Cost of sales Gross profit Operating expenses Profit from operations Interest expense Other non-operating income Profit before income tax Income tax expense $2,536.5 1,527.4 1,009.1 136.9 872.2 26.6 $11,700.4 4,949.3 6,751.1 5,022.6 1,728.5 33.3 (115.9) 1,811.1 563.1 1,248.0 (10.9) 848.0 200.9 647.1 ther comprehensive loss Total comprehensive income S 600.4 S 1,237.1 Tim Hortons (in CADS millions) Starbucks (in US$ millions) 3,794.9 Current assets Non-current assets $1,009.1 1,472.4 $2,481.5 491.5 547.6 1,039.1 1,442.4 $2,481.5 3,565.5 Total assets $ 7,360.4 Current liabilities Non-current liabilities S 2,075.8 897.3 Total liabilities Shareholders' equity 2,973.1 4,387.3 7,360.4 Total liabilities and shareholders equity Additional information: Average accounts receivable Average inventories Average total assets Average total shareholders' equity S181.0 90.6 2,287.9 1,349.1 $344.6 754.6 6,873.2 4,034.8