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please answer whatever you can! thank you in advance. Compute NOPAT Selected income statement information for 2018 is presented below for Home Depot Inc. and
please answer whatever you can! thank you in advance.
Compute NOPAT Selected income statement information for 2018 is presented below for Home Depot Inc. and Lowe's Companies Inc. Assume the statutory tax rate is 22%. Company ($ millions) Ticker Home Depot HD Lowe's LOW Sales NOPBT $108,203 $16,151 74,161 4,179 Pretax Net Nonoperating Expense $1,013 649 Average Net Tax Operating Expense Assets $3,572 $26,226 1,080 20,326 a. Compute the following measures for both companies. Measure Rounding Instructions 1. Net operating profit (NOPAT) Round to nearest whole dollar 2. Return on net operating assets (RNOA) Round percentage to one decimal place 3. Net operating profit margin (NOPM) Round percentage to one decimal place 4. Net operating asset turnover (NOAT) Round amount to two decimal places Home Depot $ 0X $ 096 x 096 X 4.13 Lowe's 0 x 0% X 096 X 3.65 b. Indicate which of these two companies: + 1. Is more profitable (in $s). Home Depot 2. Produces the higher profit margin (in %). Home Depot 3. Uses its NOA more efficiently. Home Depot 4. Produces the higher return on NOA. Home Depot Check Compute Liquidity and Solvency Ratios for Competing Firms Halliburton and Schlumberger compete in the oil field services sector. Refer to the following 2018 financial data for the two companies to answer the requirements. $ millions HAL SLB Cash and equivalents $2,008 $1,433 Short-term investments 1,344 Accounts receivable 5,443 8,196 Current assets 11,151 15,731 Current liabilities 4,994 14,025 Total liabilities 16,438 33,921 Total equity 9,926 38,049 Earnings before interest and tax (EBIT) 2,566 3.172 Interest expense, gross 554 537 a. Compute the following measures for both companies. Note: Round your final answers to two decimal places (for example, enter 6.78 for 6.77555). SLB HAL OX 0X 1. Current ratio 2. Quick ratio 3. Times interest earned 4. Liabilities-to-equity OX OX 0X b. Which company appears more liquid? HAL c. Which company appears more solvent? SLB Compute Cash Conversion Cycle for Competing Firms Halliburton and Schlumberger compete in the oil field services sector. Refer to the following 2018 financial data for the two companies to answer the requirements. $ millions Total revenue Cost of sales and services Average accounts receivable Average inventory Average accounts payable HAL SLB $24,475 $33,471 21,429 29,048 5,135 7,983 2,712 4,028 2,786 10,130 a. Compute the following measures for both companies. Note: Round your final answers to one decimal place (for example, enter 6.8 for 6.77555). SLB HAL OX OX 1. Days sales outstanding (DSO) 2. Days inventory outstanding (DIO) 3. Days payables outstanding (DPO) 4. Cash conversion cycle (CCC) 0 x 0 x OX b. Which company better manages its accounts receivable? HAL C. Which company uses inventory more efficiently? HAL = d. Which company better manages its accounts payable? SLBStep by Step Solution
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