Information:

WAL MART STORES INC
10-K
Income Statement
(Amounts in millions except per share data)
Fiscal Year Ended January 31,	2015	2014	2013	2012
Revenues:
Net sales	$482,229	$473,076	#######	$443,416
Membership and other income	3,422	3,218	3,047	3,093
	485,651	476,294	468,651	446,509
Costs and expenses:
Cost of sales	365,086	358,069	352,297	334,993
Operating, selling, general and administrative expenses	93,418	91,353	88,629	85,025
Operating income	27,147	26,872	27,725	26,491
Interest:
Debt	2,161	2,072	1,977	2,034
Capital leases	300	263	272	286
Interest expense	2,461	2,335	2,249	2,320
Interest income	(113)	(119)	(186)	(161)
Interest, net	2,348	2,216	2,063	2,159
Income from continuing operations before income taxes	24,799	24,656	25,662	24,332
Provision for income taxes:
Current	8,504	8,619	7,976	6,722
Deferred	(519)	(514)	(18)	1,202
Total provision for income taxes	7,985	8,105	7,958	7,924
Income from continuing operations	16,814	16,551	17,704	16,408
Income (Loss) from discontinued operations, net of tax	285	144	52	(21)
Consolidated net income	17,099	16,695	17,756	16,387
Consolidated net income attributable to noncontrolling interest	(736)	(673)	(757)	(688)
Consolidated net income attributable to Walmart	$16,363	$16,022	$16,999	$15,699
Net income per common share:
Basic income per common share from continuing operations to Walmart	$5.01	$4.87	$5.03	$4.55
Basic income (loss) per common share from discontinued operations	$0.06	$0.03	$0.01	($0.01)
Basic net income per common share attributable to Walmart	$5.07	$4.90	$5.04	$4.54
Diluted income per common share from continuing operations to Walmart	$4.99	$4.85	$5.01	$4.53
Diluted income (loss) per common share from discontinued operations	$0.06	$0.03	$0.01	($0.01)
Diluted net income per common share	$5.05	$4.88	$5.02	$4.52
Weighted-average number of common shares:
Basic	3,230	3,269	3,374	3,460
Diluted	3,243	3,283	3,389	3,474
Dividends declared per common share	$1.92	$1.88	$1.59	$1.46

WAL MART STORES INC
10-K
Balance Sheet
(Amounts in millions except per share data)
January 31,	2015	2014	2013	2012
ASSETS
Current assets:
Cash and cash equivalents	$9,135	$7,281	$7,781	$6,550
Receivables	6,778	6,677	6,768	5,937
Inventories	45,141	44,858	43,803	40,714
Prepaid expenses and other	2,224	1,909	1,551	1,685
Current assets of discontinued operations	0	460	37	89
Total current assets	$63,278	$61,185	$59,940	$54,975
Property and equipment, at cost	177,395	173,089	165,825	155,002
Less accumulated depreciation	(63,115)	(57,725)	(51,896)	(45,399)
Property and equipment, net	114,280	115,364	113,929	109,603
Property under capital lease	5,239	5,589	5,899	5,936
Less accumulated amortization	(2,864)	(3,046)	(3,147)	(3,215)
Property under capital lease, net	2,375	2,543	2,752	2,721
Goodwill	18,102	19,510	20,497	20,651
Other assets and deferred charges	5,671	6,149	5,987	5,456
Total assets	$203,706	$204,751	$203,105	$193,406
LIABILITIES AND SHAREHOLDERS EQUITY
Current liabilities:
Short-term borrowings	$1,592	$7,670	$6,805	$4,047
Accounts payable	38,410	37,415	38,080	36,608
Accrued liabilities	19,152	18,793	18,808	18,154
Accrued income taxes	1,021	966	2,211	1,164
Long-term debt due within one year	4,810	4,103	5,587	1,975
Obligations under capital leases due within one year	287	309	327	326
Current liabilities of discontinued operations	0	89	0	26
Total current liabilities	65,272	69,345	71,818	62,300
Long-term debt	41,086	41,771	38,394	44,070
Long-term obligations under capital leases	2,606	2,788	3,023	3,009
Deferred income taxes and other	8,805	8,017	7,613	7,862
Redeemable non-controlling interest	0	1,491	519	404
Commitments and contingencies	0	0	0	0
Shareholders equity:
Common stock	323	323	332	342
Capital in excess of par value	2,462	2,362	3,620	3,692
Retained earnings	85,777	76,566	72,978	68,691
Accumulated other comprehensive income (loss)	(7,168)	(2,996)	(587)	(1,410)
Total Walmart shareholders' equity	81,394	76,255	76,343	71,315
Noncontrolling interest	4,543	5,084	5,395	4,446
Total equity	85,937	81,339	81,738	75,761
Total liabilities and shareholders equity	$203,706	$204,751	$203,105	$193,406

WAL MART STORES INC
10-K
Statement of Cash Flows
(Amounts in millions)
Fiscal Year Ended January 31,	2015	2014	2013	2012
Cash flows from operating activities:
Consolidated net income	$17,099	$16,695	$17,756	$16,387
(Income) Loss from discontinued operations, net of tax	(285)	(144)	(52)	21
Income from continuing operations	16,814	16,551	17,704	16,408
Adjustments to reconcile income from continuing operations to net cash provided by operating activities
Depreciation and amortization	9,173	8,870	8,478	8,106
Deferred income taxes	(503)	(279)	(133)	1,050
Other operating activities	785	938	602	468
Changes in certain assets and liabilities, net of effects of acquisitions:
Increase in accounts receivable	(569)	(566)	(614)	(796)
Increase in inventories	(1,229)	(1,667)	(2,759)	(3,727)
Increase in accounts payable	2,678	531	1,061	2,687
Increase in accrued liabilities	1,249	103	271	30
(Decrease) Increase in accrued income taxes	166	(1,224)	981	29
Net cash provided by operating activities	28,564	23,257	25,591	24,255
Cash flows from investing activities:
Payments for property and equipment	(12,174)	(13,115)	(12,898)	(13,510)
Proceeds from disposal of property and equipment	570	727	532	580
Proceeds from disposal of certain operations	671	0	0	0
Other investing activities	(192)	(138)	(271)	(3,679)
Net cash used in investing activities	(11,125)	(12,526)	(12,637)	(16,609)
Cash flows from financing activities:
Net change in short-term borrowings	(6,288)	911	2,754	3,019
Proceeds from issuance of long-term debt	5,174	7,072	211	5,050
Payment of long-term debt	(3,904)	(4,968)	(1,478)	(4,584)
Dividends paid	(6,185)	(6,139)	(5,361)	(5,048)
Purchase of Company stock	(1,015)	(6,683)	(7,600)	(6,298)
Dividends paid to noncontrolling interest	(600)	(426)	(282)	(526)
Purchase of noncontrolling interest	(1,844)	(296)	(132)	0
Other financing activities	(409)	(260)	(58)	(71)
Net cash used in financing activities	(15,071)	(10,789)	(11,946)	(8,458)
Effect of exchange rates on cash	(514)	(442)	223	(33)
Net (decrease) increase in cash and cash equivalents	1,854	(500)	1,231	(845)
Cash and cash equivalents at beginning of year	7,281	7,781	6,550	7,395
Cash and cash equivalents at end of year	$9,135	$7,281	$7,781	$6,550
Supplemental disclosure of cash flow information
Income tax paid	8,169	8,641	7,304	5,889
Interest paid	2,433	2,362	2,262	2,346

Questions:

DuPont Model Analysis of ROA

Calculations:

< >: Return on sales x asset turnover

Fiscal Year Ended	2/1/2015	2/2/2014	2/3/2013	1/29/2012
Return on assets (calculated)	8.39%	8.15%	8.74%	8.47%
Return on sales	5.63%	?	?	?
Asset turnover	2.38%	2.33%	2.31	2.31
Product	13.40%	?	?	?

Profitability Performance

Calculations:

Asset turnover: total net revenues / average total assets = 485,661 / 203,706 = 2.38

Return on sales: adjusted net income / total net revenues = Step by step for 2015 =

Gross margin %: (total revenue cost of sales) / total revenue = (485,651 365,086) / 485,651 = 0.2483 = 24.83%

Return on assets: adjusted net income / average total assets = 17,099 / 203,706 = 8.39%

Return on equity: net earnings / average equity = Step by step for 2015 ?

Average interest rate: interest expense / average total liabilities = 2,461 / 65,272 = 0.0377 = 3.77%

Average total assets: (total assets 2015 + total assets 2014)/2 = (203,706 + 204,751) / 2 = 204,228.50

Income tax rate: Provision for income taxes / earnings before income taxes = Step by step for 2015 ?

Net of tax interest expense: income tax rate x interest expense = Step by step for 2015 ?

Adjusted net income: net earning + net of tax interest expense = Step by step for 2015 ?

Average equity: (total shareholders equity 2015 + total shareholders equity 2014)/2 = Step by step for 201

Average total liabilities: (total liabilities 2015 + total liabilities 2014)/2 = Step by step for 2015 ?

Profitability Ratios

Fiscal Year Ended	2/1/2015	2/2/2014	2/3/2013	1/29/2012
Asset turnover	2.38	2.33	2.31	2.31
Return on sales	5.63%	?	?	?
Gross margin %	24.83%	24.82%	24.83%	24.98%
Return on assets	8.39%	8.15%	8.74%	8.47%
Return on equity	21.01%	?	?	?
Average interest rate	3.77%	3.37	3.13%	3.72%
Average total assets	204,228.50	203,928	198,255.50	2011 data needed
Income tax rate	32.20%	?	?	?
Net of tax interest expense	2,348	2,216	2,063	2,159
Adjusted net income	16,363	?	?	?
Average equity	78,824.50	?	?	?
Average total liabilities	120,590.50	?	?	?