The following excerpt was taken from The Home Depot, Inc., 2012 Annual Report (for the fiscal year ended February 3, 2013):

Analyze:
1. What percentage of total assets is made up of cash and cash equivalents at February 3, 2013?
2. Cash receipt and cash payment transactions affect the total value of a company's assets. By what amount did the category "Cash and cash equivalents" change from January 29, 2012 to February 3, 2013?
3. If accountants at The Home Depot, Inc., failed to record cash receipts of $125,000 on January 31, 2013, what impact would this error have on the balance sheet category "Cash and cash equivalents"?

Transcribed Image Text:

The Home Depot, Inc. Consolidated Balance Sheets As of Milbons except for numbers of shares and per-share doto Feb. 3, 2013 Jan. 29, 2012 ASSETS Current Assets: Cosh and cash equivalents s 2,4941,987 otol assets $40,518 Cash and Cash Equivalents: All highly liquid investments purchased considered to be cash equivalents with original maturities of three months or less are