Refer to the balance sheet, note 1 (Property and Equipment), and note 9 (taxes) of Wal-Mart in Appendix. Required: 1. Compute the average total depreciable life of assets in use for Wal-Mart at the end of Jan 31, 2015. 2. Compute the average age to date of depreciable assets in use for Wal-Mart at the end of Jan 31, 2015. 3. Compute the remaining useful life of depreciable assets in use for Wal-Mart at the end of Jan 31, 2015. 4. Compute the amount the company would report for property, plant, and equipment (net) at the end of the year if it had used tax reporting depreciation instead of financial reporting depreciation. 5. Compute the amount of depreciation expense recognized for tax purposes for fiscal 2015 using the amount of the deferred taxes liability related to deprecation timing differences.

Note 1. Summary of Significant Accounting Policies ...... Property and Equipment Property and equipment are stated at cost. Gains or losses on disposition are recognized as earned or incurred. Costs of major improvements are capitalized, while costs of normal repairs and maintenance are charged to expense as incurred. The following table summarizes the Company's property and equipment balances and includes the estimated useful lives that are generally used to depreciate the assets on a straight-line basis:

Fiscal Years Ended January 31, (Amounts in millions)

Estimated Useful Lives 2015 2014

Land N/A $ 26,261 $ 26,184

Buildings and improvements 3-40 years 97,496 95,488

Fixtures and equipment 2-30 years 45,044 42,971

Transportation equipment 3-15 years 2,807 2,785

Construction in progress N/A 5,787 5,661

Property and equipment $ 177,395 $ 173,089

Accumulated depreciation (63,115 ) (57,725 )

Property and equipment, net $ 114,280 $ 115,364

Leasehold improvements are depreciated over the shorter of the estimated useful life of the asset or the remaining expected lease term. Depreciation expense for property and equipment, including amortization of property under capital leases, for fiscal 2015, 2014 and 2013 was $9.1 billion, $8.8 billion and $8.4 billion, respectively. Interest costs capitalized on construction projects were $59 million, $78 million and $74 million in fiscal 2015, 2014 and 2013, respectively.

Note 9. Taxes Income from Continuing Operations The components of income from continuing operations before income taxes are as follows:

Fiscal Years Ended January 31, (Amounts in millions)

2015 2014 2013

U.S. $ 18,610 $ 19,412 $ 19,352

Non-U.S. 6,189 5,244 6,310

Total income from continuing operations before income taxes $ 24,799 $ 24,656 $ 25,662

A summary of the provision for income taxes is as follows:

Fiscal Years Ended January 31, (Amounts in millions)

2015 2014 2013 Current:

U.S. federal $ 6,165 $ 6,377 $ 5,611

U.S. state and local 810 719 622

International 1,529 1,523 1,743

Total current tax provision 8,504 8,619 7,976

Deferred:

U.S. federal (387 ) (72 ) 38

U.S. state and local (55 ) 37 (8 )

International (77 ) (479 ) (48 )

Total deferred tax expense (benefit) (519 ) (514 ) (18 )

Total provision for income taxes $ 7,985 $ 8,105 $ 7,958

Deferred Taxes The significant components of the Company's deferred tax account balances are as follows: January 31, (Amounts in millions) 2015 2014

Deferred tax assets:

Loss and tax credit carryforwards $ 3,255 $ 3,566

Accrued liabilities 3,395 2,986

Share-based compensation 184 126

Other 1,119 1,573

Total deferred tax assets 7,953 8,251

Valuation allowances (1,504 ) (1,801 )

Deferred tax assets, net of valuation allowance 6,449 6,450

Deferred tax liabilities:

Property and equipment 5,972 6,295

Inventories 1,825 1,641 Other 1,618 1,827

Total deferred tax liabilities 9,415 9,763

Net deferred tax liabilities $ 2,966 $ 3,313

The deferred taxes are classified as follows in the Company's Consolidated Balance Sheets: January 31, (Amounts in millions) 2015 2014

Balance Sheet classification:

Assets:

Prepaid expenses and other $ 728 $ 822

Other assets and deferred charges 1,033 1,151

Asset subtotals 1,761 1,973

Liabilities:

Accrued liabilities 56 176

Deferred income taxes and other 4,671 5,110

Liability subtotals 4,727 5,286

Net deferred tax liabilities $ 2,966 $ 3,313