I have a questions it is mostly right but it appears that it is correct...
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I have a questions it is mostly right but it appears that it is correct all the way. I don't know what I'm doing wrong. This is the question. Then these are the answers I have so far. The question is below my answers I'm at a loss. Thank You.
Marriott International, Inc., and Hyatt Hotels Corporation are two major owners and managers of lodging and resort properties in the United States. Abstracted income statement information for the two companies is as follows for a recent year (in millions):
Marriott | Hyatt | |
Operating profit before other expenses and interest | $677.00 | $39.00 |
Other income (expenses) | 54.00 | 118.00 |
Interest expense | (180.00) | (54.00) |
Income before income taxes | $551.00 | $103.00 |
Income tax expense | 93.00 | 37.00 |
Net income | $458.00 | $66.00 |
Balance sheet information is as follows:
Marriott | Hyatt | |
Total liabilities | $7,398.00 | $2,125.00 |
Total stockholders equity | 1,585.00 | 5,118.00 |
Total liabilities and stockholders equity | $8,983.00 | $7,243.00 |
The average liabilities, average stockholders equity, and average total assets are as follows:
Marriott | Hyatt | |
---|---|---|
Average total liabilities | $7,095 | $2,132 |
Average total stockholders equity | 1,364 | 5,067 |
Average total assets | 8,458 | 7,199 |
1. Determine the following ratios for both companies: Round ratios and percentages to one decimal place. Marriott 5.4 X A. Return on Total Assets 33.6 B. Return on stockholders' equity C. Times interest earned D. Ratio of liabilities to stockholders' equity Hyatt 9.0 X 1.3 29 41.5 X Points 5 /8
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