Please use the data below to answer the next five questions. The source of the data is Yahoo Finance and it is for Walmart (fiscal year end Jan 31, 2014) and Deckers (fiscal year end Dec 31, 2013, retailer of items such as UGG footware).

Note 1: When answering questions where you have to calculate ratios that have a balance sheet item and income statement item, please ignore averages for the balance sheet item. For instance, to calculate asset turnover, divide sales by assets shown below and not sales divided by average assets (assets shown below and the prior year).

Note 2: When calculating inventory days, accounts receivable days, and payables days, assume a 365 day year.

Item (in thousands) Walmart Deckers .

Sales $476,294,000 $1,556,618

Direct costs (cost of goods sold) $358,069,000 $820,135

Net income $16,022,000 $145,689

Inventory $44,858,000 $260,791

Receivables $6,677,000 $203,894

Accounts payable $57,174,000 $310,790

Total assets $204,751,000 $1,259,729

Equity $76,255,000 $888,119

Dividends $6,861,000 $0

QUESTION 1: The cash conversion cycle for Deckers is about ____.

1. 25.6 days
2. 70.1 days
3. 163.9 days
4. 206.6 days
5. 302.2 days

QUESTION 2: On each dollar of sales, after only direct costs, Walmart makes about ____ and Deckers makes about ____.

1. $0.10, $0.24
2. $0.25, $0.47
3. $0.33, $0.90
4. $0.54, $0.44
5. $0.75, $0.53

QUESTION 3: Which of the following is(are) false? (If there is more than one right answer, you must select the choice with all of the right answers in order to receive credit.)

1. Deckers' net profit margin is higher than Walmart's
2. Walmart's asset turnover is higher than Deckers'
3. Walmart has a higher ROA than Decker
4. Walmart has a higher equity multiplier (also called leverage ratio) than Deckers
5. a and c
6. b and d

QUESTION 4: Walmart has a higher ROE than Deckers; however, Walmart's Asset to Equity ratio is different than Deckers'. Assuming Walmart's ROA does not change, if Walmart had the same Asset/Equity ratio as Deckers, Walmart's ROE would be ____ than Deckers'.

1. Higher
2. The same
3. Lower

QUESTION 5: Walmart's theoretical sustainable growth rate is ____.

1. 4.5%
2. 7.5%
3. 9.0%
4. 12.0%
5. 13.0%
6. 21.0%