Compute Net Operating Profit after Tax

Refer to the balance sheet information below for Home Depot.

$ millions	Feb. 3, 2019	Jan. 28, 2018
Operating assets	$27,446	$26,607
Nonoperating assets	1,156	2,337
Total assets	$28,602	$28,944
Operating liabilities	$10,841	$10,431
Nonoperating liabilities	18,981	17,568
Total liabilities	$29,822	$27,999
Net sales	$70,332
Operating expense before tax	60,237
Net operating profit before tax (NOPBT)	10,095
Other expense	633
Income before tax	9,462
Tax expense	2,233
Net income	$7,229

Assume a statutory tax rate of 22%.

a. Compute NOPAT for the year ended Feb. 3, 2019 using the formula: NOPAT = Net income + NNE

	Net income	NNE	NOPAT

b. Compute NOPAT for the year ended Feb. 3, 2019 using the formula: NOPAT = NOPBT Tax on operating profit

	NOPBT	Tax on operating profit	NOPAT