Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Compute Net Operating Profit after Tax Selected balance sheet and income statement information for Home Depot follows. $ millions Jan. 31, 2016 Feb. 01, 2015

Compute Net Operating Profit after Tax Selected balance sheet and income statement information for Home Depot follows.

$ millions Jan. 31, 2016 Feb. 01, 2015
Operating assets $40,858 $38,748
Nonoperating assets 2,321 1,828
Total assets 43,179 40,576
Operating liabilities 15,093 13,602
Nonoperating liabilities 21,320 17,202
Total liabilities 36,413 30,804
Sales 89,599
Net operating profit before tax (NOPBT) 12,299
Nonoperting expense before tax 858
Tax expense 4,428
Net income 7,013

Compute net operating profit after tax for the year ended January 31, 2016. Assume a statutory tax rate of 37%.

Round answers to the nearest whole number.

a. Compute NOPAT using the formula: NOPAT = Net income + NNE

$Answer

b. Compute NOPAT using the formula: NOPAT = NOPBT Tax on operating profit

$Answer

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Cost Accounting And Financial Management For Construction Project Managers

Authors: Len Holm

1st Edition

1138550655, 978-1138550650

More Books

Students also viewed these Accounting questions

Question

=+4. What do you think?

Answered: 1 week ago