D Question 14 3 pts Finally, let's consider the financial analysis category of Profitability. What is the Profit Margin Ratio for Home Depot in FY 2017 and FY 2018? By how much has the company's profit margin ratio increased or decreased from FY 2017 to FY 2018? Please note that Home Depot produces a Consolidated Statement of Net Earnings (Not a Consolidated Statement of Net Income). Thus, Home Depot uses the term "Net Earnings" rather than "Net Income." Please round your answer to two decimal places. A. Profit Margin is 10.28% in FY 2017 and 8.55% in FY 2018. B. Profit Margin is 10.76% in FY 2017 vs. 9.82% in FY 2018. OC. Profit Margin is 8.55% in FY 2017 and 10.28% for FY 2018. OD. Profit Margin Increased by 20.2% from FY 2017 to FY 2018. E. C & D are True. OF. A & D are True. in milions, except per share data Assets Current assets Cash and cash equivalents Receivables, net Merchandise inventories Other current assets Total current assets Net property and equipment Goodwill Other assets THE HOME DEPOT, INC. CONSOLIDATED BALANCE SHEETS February 3 January 28 201 $ 1,778 $ 3,595 1,936 1,962 13,925 12,748 890 638 18.529 18.933 22.375 22.075 2.252 2,275 847 1,246 44.003 $ 44,529 Total assets Liabilities and Stockholders' Equity Current liabilities: Short-term debt $ 1,339 $ 1,559 Accounts payable Accrued salaries and related expenses Sales taxes payable Deferred revenue 7,755 7.244 1.506 1,640 656 520 1,782 1,805 Income taxes payable Other accrued expenses 11 54 Current installments of long-term debt 1,056 1.202 2.611 2.170 Total current liabilities 16.716 16,194 Long-term debt, excluding current installments 26,807 24,267 Deferred income taxes 491 440 Other long-term liabilities 1,867 2,174 Total liabilities 45.881 43,075 Common stock, par value $0.05; authorized 10,000 shares issued: 1,782 at February 3, 2019 and 1,780 shares at January 28, 2018, outstanding 1,105 shares at February 3, 2019 and 1,158 shares at January 28, 2018 89 89 Paid-in capital 10,578 10,192 Retained earnings 46,423 39.935 Total stockholders' (deficit) equity Accumulated other comprehensive loss Treasury stock, at cost, 677 shares at February 3, 2019 and 622 shares at January 28, 2018 Total liabilities and stockholders' equity See accompanying notes to consolidated financial statements (772) (566) (58,196) (48,196) (1.878) 1,454 S 44,003 $ 44,529 Table of Contents THE HOME DEPOT, INC. CONSOLIDATED STATEMENTS OF EARNINGS Fiscal in milions, except per share data 2018 Fiscal 2017 Fiscal 2016 Net sales Cost of sales Gross profit Operating expenses: Selling, general and administrative Depreciation and amortization $ 108,203 $ 100,904 $ 94,595 71,043 66,548 62,282 37,160 34,356 32,313 19,513 17,864 17,132 1,8701 1,811 1,754 Impairment loss 247 Total operating expenses 21,630 19,675 18,886 Operating income 15,530 14,681 13,427 Interest and other (income) expense: Interest and investment income (93) (74) (36) Interest expense Other 1,051 1,057 972 16 - Interest and other, net 974 983 Earnings before provision for income taxes 14,556 Provision for income taxes 3,435 13,698 5,068 936 12.491 4,534 Net earnings $ 11,121 $ 8.630 $ 7,957 Basic weighted average common shares i 1,137 1,178 1,229 Basic earnings per share 9.78 $ 7.33 $ 6.47 Diluted weighted average common shares 1,143 1,184 1,234 Diluted earnings per share $ 9.73 $ 7.29 $ 6.45 Fiscal 2018 includes 53 weeks. Fiscal 2017 and fiscal 2016 include 52 weeks See accompanying notes to consolidated financial statements