B

Required information Exercise 13.15 Home Depot, Inc. Using a Statement of Cash Flows (LO13-1, LO13-2, LO13-4) [The following information applies to the questions displayed below.] Statements of cash flow for Home Depot, Inc., for 2015, 2014, and 2013 are included in Appendix A of this text. Exercise 13.15 Part a-1 a-1. Focus on the information for 2015 (year ending January 31, 2016).

A. Determine the net earnings and compare with net cash provided by or used in operations. (Enter your answers in millions.)

B. What accounts for the primary difference between the two amounts?

Depreciation and Amortization

Proceeds from Sales of Property and Equipment

Repayments of Long-Term Debt

Purchases of Investments

C. Identify the major uses of cash, other than operations.

January 31, 2016 February 1, 2015 February 2, 2014 amounts in millions CASH FLOWS FROM OPERATING ACTIVITIES: Net Earnings Reconciliation of Net Earnings to Net Cash Provided by Operating Activities: $ 7,009 S6,345 5,385 1,863 244 (144) 1,757 228 1,786 Depreciation and Amortization Stock-Based Compensation Expense Gain on Sales of Investments Changes in Assets and Liabilities, net of the effects of acquisitions (323) Receivables, net Merchandise Inventories Other Current Assets Accounts Payable and Accrued Expenses Deferred Revenue Income Taxes Payable Deferred Income Taxes Other (81) (124) (199) 244 146 (15) (546) 605 75 109 154 (31) (35) 7,628 104) Net Cash Provided by Operating Activities CASH FLOWS FROM INVESTING ACTIVITIES: Capital Expenditures, net of $165, $217 and $46 of non-cash capital expenditures in fiscal 2015, 2014 and 2013, respectively Proceeds from Sales of Investments Payments for Businesses Acquired, net Proceeds from Sales of Property and Equipment (1,503) 144 (1,666) (1,442) 323 (200) (1,389) (206) Net Cash Used in Investing Activities (2.982) (1,271) 1,507 CASH FLOWS FROM FINANCING ACTIVITIES: Proceeds from Short-Term Borrowings, net Proceeds from Long-Term Borrowings, net of discounts Repayments of Long-Term Debt Repurchases of Common Stock Proceeds from Sales of Common Stock Cash Dividends Paid to Stockholders Other Financing Activities 60 3,991 (39) (7,000) 228 (3,031) 290 1,981 (39) (7,000) 252 (2,530) 5,222 (1,289) (8,546) 241 (2,243) (37) 6,652 (531) (34) 2,471 Net Cash Used in Financing Activities (100) (106) 1.929 604 Change in Cash and Cash Equivalents Effect of Exchange Rate Changes on Cash and Cash Equivalents Cash and Cash Equivalents at Beginning of Year Cash and Cash Equivalents at End of Year SUPPLEMENTAL DISCLOSURE OF CASH PAYMENTS MADE FOR: Interest, net of interest capitalized Income Taxes 1,723 2,216 S 1723 1.929 874 S $ 3,853 S 3,435 782 S 639 2,839