Handy Tool Corp. Selected Financial Information (amounts in millions, except per share amounts) January 28 January 29, 2018 2017 Total current assets $ 11, 020 $ 8,043 Merchandise inventory 10 , 114 7, 243 Property and equipment, net of depreciation 22 , 153 15 , 388 Total assets 38 , 361 26, 672 Total current liabilities 14, 672 9 , 751 Total long-term liabilities 16, 957 12 , 007 Total liabilities 31, 629 21, 758 Total shareholders' equity 6 , 732 4 , 914 Revenue 134, 177 89 , 605 Cost of goods sold 104, 575 71, 173 Gross profit 29 , 602 18 , 432 Operating income 3 , 880 2 , 482 Earnings from continuing operations before income tax expense 3, 639 2 , 079 Income tax expense 1 , 115 684 Net earnings 2 , 524 1 , 395 Basic earnings per share $ 2 . 52 $ 1 . 40 Toolbox Inc. K Selected Financial Information (amounts in millions except per share data) January 24, January 25, 2018 2017 Total current assets $ 2, 100 $ 1, 812 Merchandise inventory 1, 856 379 Property and equipment, net of depreciation 3,537 2, 223 Total assets 6, 102 5 , 070 Total current liabilities 1, 547 996 Total long-term liabilities 830 524 Total liabilities 2, 377 1, 520 Total stockholders' equity 3, 725 3, 550 Revenues 17, 431 11, 824 Cost of goods sold 11, 262 7, 587 Gross profit 6. 169 4. 237 Property and equipment, net of depreciation 3, 537 2 , 223 Total assets 6, 102 5, 070 Total current liabilities 1, 547 996 Total long-term liabilities 830 524 Total liabilities 2,377 1 , 520 Total stockholders' equity 3, 725 3 , 550 Revenues 17, 431 11, 824 Cost of goods sold 11 , 262 7, 587 Gross profit 6 , 169 4, 237 Operating income 1 , 150 808 Earnings from continuing operations before income taxes 1 , 064 718 Income tax expense 452 314 Net earnings 612 404 Basic earnings per share $ 1. 43 S 1 . 21 Required Compute the following ratios for the companies' 2018 fiscal years (years ending in January 2018): (Use 365 days in a year. Do not round intermediate calculations. Round "Current ratio" to 2 decimal places and "Average days" to nearest whole number. Round all other answers to 1 decimal place.) x Answer is complete but not entirely correct. HANDY TOOL TOOLBOX (1) Current ratio 0.75 1.36 (2) Average days to sell inventory (Use average inventory.) 31 days 37 days (3) Debt-to-assets ratio 82.5 % 39.0 % (4 Return on investment (Use average assets and use "earnings from continuing operations" rather than "net earnings.") 7.0 X % 18.5 X 5) Gross margin percentage 21.0 X % 34.8 X % (6) Asset turnover (Use average assets.) 4.0 x times 3.0 x times (7 Return on sales (Use "earnings from continuing operations" rather than "net earnings.") 3.6 X % 6.5 X % (8) Plant assets to long-term debt ratio 1.3 4.3