The balance sheet and disclosure of significant accounting policies taken from the 2017 annual report of Walmart
The balance sheet and disclosure of significant accounting policies taken from the 2017 annual report of Walmart Stores Inc. appear below. Use this information to answer the following questions: WAL-MART STORES, INC. Consolidated Balance Sheets ($ in millions except per share data) As of January 31, 2017 2016 $ 6,867 $ 8,705 5,835 5,624 43,046 44,469 1.941 1.441 57.68960, 239 179,492 (71,782) 107,71 176,958 (66, 787) 110, 171 11,637 (5,169) 6,468 17,837 11,096 (4,751) 6, 345 16,695 6,131 $199,581 9,921 $198,825 Assets Current assets: Cash and cash equivalents Receivables (net) Inventories Prepaid expenses and other Total current assets Property and equipment: Property and equipment Less accumulated depreciation Property and equipment (net) Property under capital leases: Property under capital lease and financing obligations Less accumulated amortization Property under capital leases and financing obligations (net) Goodwill Other assets and deferred charges Total assets Liabilities, Redeemable Noncontrolling Interest and Equity Current liabilities: Short-term borrowings Accounts payable Accrued liabilities Accrued income taxes Long-term debt due within one year Capital lease and financing obligations due within one year Total current liabilities Long-term debt Long-term capital lease and financing obligations Deferred income taxes and other Commitments and contingencies Equity: Common stock Capital in excess of par value Retained earnings Accumulated other comprehensive income (loss) Total Walmart shareholders' equity Nonredeemable noncontrolling interest Total equity Total liabilities, redeemable noncontrolling interest and equity $ 1,099 41,433 20,654 921 2,256 2,708 38,487 19,607 521 2,745 565 551 66,928 36,015 6,083 9,344 64,619 38,214 5,816 7,321 305 2,371 89,354 $ (14,232) 77,798 2,737 80,535 $198,825 317 1,805 90,821 (11,597) 80,546 3,065 83,611 199,581 Source: Wal-Mart NOTES TO CONSOLIDATED FINANCIAL STATEMENTS WAL-MART STORES, INC. Required: 1. Does Walmart separately report current assets versus long-term assets, and current liabilities versus long-term liabilities? 2. What amounts did Walmart report for the following items for 2017: (Enter your answers in millions.) a. Total assets b. Current assets c. Current liabilities d. Total equity e. Retained earnings 1. Inventory 3. What is Walmart's largest current asset? What is its largest current liability? 4. Compute Walmart's current ratio for 2017. (Round your answer to 2 decimal places.) 5. Identify the following items from the summary of significant accounting policies: a. Does the company have any securities classified as cash equivalents? b. What cost method does the company use for its U.S. Inventory? c. When does the company recognize revenue from service transactions? 1. Does Walmart report these separately? a. Total assets b. Current assets Current liabilities d. Total equity e. Retained earnings Inventory million million million million million million 3. What is Walmart's largest current asset? What is its largest current liability? 4. Current ratio 5. a. Does the company have any securities classified as cash equivalents? b. Cost method used for U.S. inventory c. Walmart recognizes revenue at the time
