Home Depot vs Lowes

In details, your submitted final project should include the following items:

1. Cover page.

2. Introduction ( a brief introduction of both companies' background, business strategy)

3. Analytical section. (Common-Size Income statement Analysis, comparative income statement analysis and, Financial Ratio Analysis)

This should include all your numerical analyses. This is where you will discuss the results of, comments on, and conclusions about the common-size statements, comparative analysis (i.e., change of percentage analysis), and the ratio analyses for both companies.

(In this section, you just need to complete the common-size income statement and comparative income statement for both companies (do not need to work on common-size or comparative balance sheet).

For financial ratios, you just need to complete the following ratios:

Profitability ratios:

Profit margin

Return on assets.

Productivity ratios:

Accounts Receivable Turnover

Inventory Turnover

Coverage ratios:

Total liabilities-to-equity

Cash from operations to total debt.

Liquidity ratios:

Current Ratio

Quick Ratio

4. Appendices.

Include tables and graphs of your numerical analyses.

For both companies, you should report: ( You have to show me those tables in the project)

a. common-size income statement for both companies.

b. comparative income statement for both companies.

c. a table of Financial Statement Ratios (8 ratios I listed above), and

d. Pro Forma statements.