Following is the income statement for Lowe’s Companies Inc. LOWE’S COMPANIES INC.   Consolidated Statement of Earnings   Twelve Months Ended (In millions) Feb. 1, 2019 Net sales $106,250 Cost of sales 72,117 Gross margin 34,133 Expenses   Selling, general and administrative 25,945 Depreciation and amortization 2,201 Operating income 5,987 Interest expense, net 930 Pretax earnings 5,057 Income tax provision 1,609 Net earnings $3,448   Compute its net operating profit after tax (NOPAT) for the 12 months ended February 1, 2019, assuming a 22% total statutory tax rate.     Feb. 1, 2019   NOPAT Answer

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Identify and Compute NOPAT

Following is the income statement for Lowe’s Companies Inc.

LOWE’S COMPANIES INC.  
Consolidated Statement of Earnings  
Twelve Months Ended (In millions) Feb. 1, 2019
Net sales $106,250
Cost of sales 72,117
Gross margin 34,133
Expenses  
Selling, general and administrative 25,945
Depreciation and amortization 2,201
Operating income 5,987
Interest expense, net 930
Pretax earnings 5,057
Income tax provision 1,609
Net earnings $3,448

 

Compute its net operating profit after tax (NOPAT) for the 12 months ended February 1, 2019, assuming a 22% total statutory tax rate.

    Feb. 1, 2019
  NOPAT

Answer

 

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