Ratio of sales to assets OBJ. 5 The Home Depot reported the following data (in millions) in its recent financial statements:

Year 2 Year 1 Sales $70,395 $67,997 Total assets at the end of the year 40,518 40,125 Total assets at the beginning of the year 40,125 40,877

a. Determine the ratio of sales to assets for The Home Depot for Year 2 and Year 1. Round to two decimal places.

b. What conclusions can be drawn from these ratios concerning the trend in the ability of The Home Depot to effectively use its assets to generate sales?