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HOME DEPOT, INC. Selected Financial Information (amounts in mililons, except per share amounts) Total current assets Merchandise inventory Property and equipment, net of depreciation Total assets Total current liabilities Total long-term liabilities Total llabilities Total shareholders' equity Revenue Cost of goods sold Gross profit Operating income January 28, February 29 , 20182017 Earnings from continuing operations before income tax expense Income tax expense Net earnings $18,933$17,724 12,74812,549 22,07521,914 44,52942,966 16,19414,133 26,88124,500 43,07538,633 1.4544,333 100,90494.595 Basic earnings per share 66,54862,282 34,35632,313 14,68113,427 Basic earinigs pershare LOWE'S COMPANIES, INC. Selected Financlal Information (amounts in millions except per share data) February 2, February 3. 2018 Total current assets Merchandise inventory Property and equipment, net of depreciation Total assets Total current liabilities Total long-term liabilities Total liabilities $12,772$12,000 Total stockholders' equity Revenues 11,39310,458 Cost of goods sold 19,72119,949 Gross profit 35,29134,408 Operating income Earnings from continuing operations before income taxes Income tax expense Net earnings 12,09611,974 17,32216,000 29,41827,974 Basic earnings per share $4.09$3.48 a. Compute the following ratios for the companies' 2017 fiscal years (years ending in January and February of 2018): (1) Current ratio. (2) Average days to sell inventory. (Use average inventory.) (3) Debt-to-assets ratio. (4) Return on investment. (Use average assets and use "earnings from continuing operations" rather than "net earnings.") (5) Gross margin percentage. (6) Asset turnover. (Use average assets.) (7) Return on sales. (Use "earnings from continuing operations" rather than "net earnings.") (8) Plant assets to longterm debt ratio. b. Which company appears to be more profitable? Explain your answer and identify which ratio(s) from Requirement a you used to reach your conclusion. c. Which company appears to have the higher level of financial risk? Explain your answer and identify which ratio(s) from Requirement a you used to reach your conclusion. d. Which company appears to be charging higher prices for its goods? Explain your answer and identify which ratio(s) from Requirement a you used to reach your conclusion. c. Which company appears to be the more efficient at using its assets? Explain your answer and identify which ratio(s) from Requirement a you used to reach your conclusion