Question
Compute the following three ratios for The Home Depots year ended February 2, 2020: (i) fixed asset turnover, (ii) days to sell, and (iii) debt-to-assets.
Compute the following three ratios for The Home Depots year ended February 2, 2020: (i) fixed asset turnover, (ii) days to sell, and (iii) debt-to-assets. To calculate the ratios, use the Fiscal 2019 financial statements of The Home Depot in Appendix A at the end of this book. (Note: Fiscal 2019 for The Home Depot runs from February 4, 2019, to February 2, 2020. As with many retail companies, The Home Depot labels the period Fiscal 2019 even though it ends in the 2020 calendar year. The label Fiscal 2019 is appropriate because Fiscal 2019 includes 11 months from the 2019 calendar year. The Home Depot explains its choice of fiscal period in Note 1 to its financial statements.) (Use 365 days in a year. Round intermediate calculations to 2 decimal places. Round fixed asset turnover and debt-to-assets final ratios to 2 decimal places. Round days to sell ratio to 1 decimal place.)
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