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using the attached income statement and balance sheet for home depot, inc. calculate the following and provide comments when appropriate:

THE HOME DEPOT, INC CONSOLIDATED BALANCE SHEETS February 2 2030 February 2015 mon, exopper hare data Assets Current assets Cash and cash equivalents Receivables, net Merchandise inventories Other current assets Total current assets Net property and equipment Operating tease right-of-use assets Goodwill Other assets Total assets 2,133 5 2,106 14,531 1,040 19,810 22.770 5.595 2254 B07 51.236 5 1,778 1.936 13.925 890 18.529 22, 375 2.252 847 44,003 $ Liabilities and Stockholders' Equity Current liabilities: Short-term debt Accounts payable Accrued salaries and related expenses Sales taxes payable Deferred revenue income taxes payable Current installments of long-term debe Current operating lease abilities Other accrued expenses Total current liabilities Long-term debt, excluding current installments Long-term operating lease lates Deferred income taxes Other long-term liabilities Total abilities 1,339 7.755 1.506 656 1.782 11 1,056 9745 7,787 1,494 GOS 2,115 55 1.839 828 2,677 18,375 28,670 5.000 700 1.535 54.352 2.511 16.716 26.807 491 45.881 Common stock por value $0.05 authorized 10,000 shares issued: 1,788 shares at February 2, 2020 and 1.782 shares February 3, 2019, outstanding: 1,077 shares at February 2, 2020 and 1,105 shares of February 3, 2019 Paid in capital Retained earings Accumulated other comprehensive loss Treasury stock etcost. 709 shares at February 2, 2020 and 677 February 3, 2010 Total stockholders' deficit) equity Tot abges and stockholders' equily 11.001 51,729 (739 89 10,578 46.423 (772) (50195 165, 1961 116) 51.236 S 44003 a) By what percentage did Net Earnings change from 2018 to 2019? Indicate whether this is an increase or a decrease (show calculations, round to 1 decimal place). Increase or Decrease? % + b) Calculate the Current Ratio for 2018 and 2019. Does Home Depot appear to be more or less solvent in 2019 than it was in 2018? (show calculations, round to 2 decimal places) 2019 2018 2,133/974 2.19 1,778/1,33 1.33 More or less solvent? more c) Calculate the Number of Day's Sales in Inventory for 2019. If the industry average for this measure is 60 days, how does Home Depot compare to the competition in terms of its ability to manage inventory? (show calculations, round to 1 decimal place) days Better or worse than the competition? d) Calculate the Ratio of Liabilities to Stockholder's Equity for 2019. If the industry average for this ratio is 2.5, does Home Depot appear to be less or more risky than the industry in terms of its debt structure? (show calculations, round to 1 decimal place) Less or more risky than the industry? Fiscal 2018 108,203 71,043 37,160 Fiscal 2017 100,904 66,548 34,356 17,864 1,811 THE HOME DEPOT, INC. CONSOLIDATED STATEMENTS OF EARNINGS Fiscal in millions, except per share data 2019 Net sales 110,225 $ Cost of sales 72,653 Gross profit 37,572 Operating expenses Seling, general and administrative 19,740 Depreciation and amortization 1,989 Impairment loss Total operating expenses 21,729 Operating income 15,843 Interest and other income) expense: Interest and investment income (73) Interest expense 1,201 Other Interest and other, net 1,128 Earnings before provision for income taxes 14,715 Provision for income taxes 3,473 Net earnings $ 11,242 $ 19,513 1,870 247 21,630 15,530 19,675 14,681 (74) 1,057 (93) 1,051 16 974 14,556 3,435 11,121 $ 983 13,698 5,068 8,630 Basic weighted average common shares Basic earnings per share 1,093 10.29 $ 1.137 1,178 7.33 $ 9.78 $ 1,097 10.25 $ $ 1,143 9.73 $ Diluted weighted average common shares Diluted earnings per share Fiscal 2010 and fiscal 2017 include 52 weeks. Fiscal 2018 Includes 63 weeks, See accompanying notes to consolidated financial statements. 1,184 7.29

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