4. Average collection period5. Asset turnover ratio6. Profit margin on sales7. Return on assets8. Return on equity9. Equity multiplier10. Return on equity (using the DuPont framework)++days%%%times%< PrevDONDOS5 of 5 octoring Enable x +getproctorio.com/secured #lockdownoctoring Enabled: Chapter 4 Required Homework (G... i03:48:295The Home Depot is the largest home improvement retailer in the United States. Home Depot financial statements for 2024 are shownbelow (in thousands):2024 Income StatementNet salesCost of goods soldGross profitOperating expensesInterest expenseIncome tax expenseNet incomeAssetsCash$ 10,000(6,550)3,450(2,350)(300)(320)$ 480Comparative Balance SheetsAccounts receivableInventoryProperty, plant, and equipment (net)Bonds payableCommon stockRetained earningsLiabilities and Shareholders' EquityCurrent liabilitiesDecember 312024Saved$ 7007009003,000$ 5,3001,7001,9007001,000$ 5,3002023$ 6005007003,100$ 4,900$ 1,4501,900700850$ 4,900HelpRequired:Calculate Home Depot ratios for 2024.Note: Consider 365 days a year. Do not round intermediate calculations and round your final answers to 2 decimal places.

Introduction:- Ration analysis is used to identify financial health of company. It is measured from…

Answered: 4. Average collection period 5. Asset…

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Accounting

4. Average collection period 5. Asset turnover ratio 6. Profit margin on sales + days %

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

4. Average collection period
5. Asset turnover ratio
6. Profit margin on sales
7. Return on assets
8. Return on equity
9. Equity multiplier
10. Return on equity (using the DuPont framework)
++
days
%
%
%
times
%
< Prev
DONDOS
5 of 5

octoring Enable x +
getproctorio.com/secured #lockdown
octoring Enabled: Chapter 4 Required Homework (G... i
03:48:29
5
The Home Depot is the largest home improvement retailer in the United States. Home Depot financial statements for 2024 are shown
below (in thousands):
2024 Income Statement
Net sales
Cost of goods sold
Gross profit
Operating expenses
Interest expense
Income tax expense
Net income
Assets
Cash
$ 10,000
(6,550)
3,450
(2,350)
(300)
(320)
$ 480
Comparative Balance Sheets
Accounts receivable
Inventory
Property, plant, and equipment (net)
Bonds payable
Common stock
Retained earnings
Liabilities and Shareholders' Equity
Current liabilities
December 31
2024
Saved
$ 700
700
900
3,000
$ 5,300
1,700
1,900
700
1,000
$ 5,300
2023
$ 600
500
700
3,100
$ 4,900
$ 1,450
1,900
700
850
$ 4,900
Help
Required:
Calculate Home Depot ratios for 2024.
Note: Consider 365 days a year. Do not round intermediate calculations and round your final answers to 2 decimal places.

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