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The following information relates to Handy Tool Corp., and Toolbox Inc. for their 2018 and 2017 fiscal years. Handy Tool Corp. Selected Financial Information (amounts
The following information relates to Handy Tool Corp., and Toolbox Inc. for their 2018 and 2017 fiscal years. Handy Tool Corp. Selected Financial Information (amounts in millions, except per share amounts) January 28, 2018 Total current assets $ 9,250 Merchandise inventory 8,490 Property and equipment, net of depreciation 18,595 Total assets 34,410 Total current liabilities 14,526 Total long-term liabilities 14,234 Total liabilities 28,760 Total shareholders' equity 5,650 Revenue 112,610 Cost of goods sold 85,402 Gross profit 27, 208 3,257 Operating income 2,412 Earnings from continuing operations before income tax expense 935 Income tax expense 1,477 Net earnings $ 1.48 Basic earnings per share January 29, 2017 $ 8,493 7,649 16,250 28,168 10,298 12,680 22,978 5,190 94,638 75,172 19,466 2,622 2,197 723 1,474 1.47 $ Toolbox Inc. Selected Financial Information (amounts in millions except per share data) Toolbox Inc. Selected Financial Information (amounts in millions except per share data) January 24, Total current assets 2018 Merchandise inventory $ 2,000 Property and equipment, net of depreciation 1,743 Total assets 3,321 Total current liabilities 5,732 1,294 Total long-term liabilities 695 Total liabilities 1,989 Total stockholders' equity 3,743 Revenues 14,315 Cost of goods sold 9,421 Gross profit 4,894 Operating income 962 Earnings from continuing operations before income taxes 921 377 Income tax expense 544 Net earnings S 1.51 Basic earnings per share January 25, 2017 $ 1,917 401 2,352 5,368 1,054 555 1,609 3,759 12,521 8,035 4,486 856 767 333 434 1.36 W s Required Compute the following ratios for the companies' 2018 fiscal years (years ending in January 2018): (Use 365 days in a year. Do not round intermediate calculations. Round "Current ratio" to 2 decimal places and "Average days" to nearest whole number. Round all other answers to 1 decimal place.) Required Compute the following ratios for the companies' 2018 fiscal years (years ending in January 2018): (Use 365 days in a year. Do not round intermediate calculations. Round "Current ratio" to 2 decimal places and "Average days" to nearest whole number. Rou all other answers to 1 decimal place.) HANDY TOOL TOOLBOX days % days % % % (1) Current ratio (2) Average days to sell inventory (Use average inventory.) (3) Debt-to-assets ratio Return on investment (Use average assets and use "earnings from continuing operations" rather than "net earnings.") (5) Gross margin percentage (6) Asset turnover (Use average assets.) Return on sales (Use "earnings from continuing operations" rather than "net earnings.") (8) Plant assets to long-term debt ratio % % times times % %
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