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Home Depot Home Depot Lowe's Lowe's 1/31/16 2/1/15 1/29/16 1/30/15 Net Sales $88,519 $83,176 $59,074 $56,223 Cost of Goods Sold $58,254 $54,787 $38,504 $36,665 Year-end
Home Depot | Home Depot | Lowe's | Lowe's | |
1/31/16 | 2/1/15 | 1/29/16 | 1/30/15 | |
Net Sales | $88,519 | $83,176 | $59,074 | $56,223 |
Cost of Goods Sold | $58,254 | $54,787 | $38,504 | $36,665 |
Year-end Inventory | $11,809 | $11,079 | $9,458 | $8,911 |
The table above contains selected information from recent financial statements of The Home Depot, Inc., and Lowes Companies, Inc., two companies in the home improvement retail industry ($ in millions).
Industry Averages:
Gross Profit Ratio | 33% |
Inventory Turnover Ratio | 3.9 times |
Average Days in Inventory | 94 days |
Required: Calculate the gross profit ratio, the inventory turnover ratio, and the average days in inventory for the two companies for their fiscal years ending in 2016.
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