Costco Wholesale Corporation (COST) and Walmart Stores Inc. (WMT) reported the following data (in millions) for a

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Costco Wholesale Corporation (COST) and Walmart Stores Inc. (WMT) reported the following data (in millions) for a recent year:

Costco Walmart Sales $129,025 $500,343 Operating income Average total assets Average stockholders' equity 4,111 20,437 34,755 201,674 11,706 80,679


1. Compute the return on total assets. Round to one decimal place.

2. Compute the return on stockholders’ equity. Round to one decimal place.

3. Compute the profit margin, asset turnover, and financial leverage metrics. Round profit margin, asset turnover, and financial leverage to two decimal places.

4. Comment on the results of 1, 2, and 3.

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Survey Of Accounting

ISBN: 9780357132593

9th Edition

Authors: Carl S. Warren, Amanda Farmer

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