Assume that you are the credit manager of a medium-size supplier of building materials and related products. Home Depot wants to make credit purchases from your company, with payment due in 60 days.

Instructions:

a-2. Compute the quick ratio for the fiscal years ending February 3, 2019, and January 28, 2018.

THE HOME DEPOT, INC. CONSOLIDATED BALANCE SHEETS millions, except per share data February3,2019January28,2018January29,2017 Assets Current Assets: Cash and Cash Equivalents Receivables, net Merchandise Inventories Other Current Assets Total Current Assets Net Property and Equipment Goodwill Other Assets Total Assets 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 Debt Other Accrued Expenses Total Current Liabilities Long-Term Debt, excluding current installments Deferred Income Taxes Other Long-Term Liabilities Total liahilities