Identify and Compute Net Operating Assets Following is the balance sheet for Lowe’s Companies Inc. LOWE’S COMPANIES INC. Consolidated Balance Sheet $ millions, except par value Feb. 1, 2019 Current assets Cash and cash equivalents $533 Short-term investments 227 Merchandise inventory—net 13,107 Other current assets 979 Total current assets 14,846 Property, less accumulated depreciation 19,234 Long-term investments 267 Deferred income taxes—net 307 Goodwill 316 Other assets 1,038 Total assets $36,008 Current liabilities Short-term borrowings $753 Current maturities of long-term debt 1,158 Accounts payable 8,639 Accrued compensation and employee benefits 691 Deferred revenue 1,356 Other current liabilities 2,530 Total current liabilities 15,127 Long-term debt, excluding current maturities 15,017 Deferred revenue—extended protection plans 863 Other liabilities 1,199 Total liabilities 32,206 Shareholders’ equity Preferred stock—$5 par value, none issued - Common stock—$0.50 par value 418 Capital in excess of par value - Retained earnings 3,602 Accumulated other comprehensive loss (218) Total shareholders’ equity 3,802 Total liabilities and shareholders’ equity $36,008 Identify and compute net operating assets (NOA) as of February 1, 2019. Assume that long‑term investments are nonoperating.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Concept explainers

Question

Identify and Compute Net Operating Assets

Following is the balance sheet for Lowe’s Companies Inc.

LOWE’S COMPANIES INC.
Consolidated Balance Sheet
$ millions, except par value Feb. 1, 2019
Current assets
Cash and cash equivalents	$533
Short-term investments	227
Merchandise inventory—net	13,107
Other current assets	979
Total current assets	14,846
Property, less accumulated depreciation	19,234
Long-term investments	267
Deferred income taxes—net	307
Goodwill	316
Other assets	1,038
Total assets	$36,008
Current liabilities
Short-term borrowings	$753
Current maturities of long-term debt	1,158
Accounts payable	8,639
Accrued compensation and employee benefits	691
Deferred revenue	1,356
Other current liabilities	2,530
Total current liabilities	15,127
Long-term debt, excluding current maturities	15,017
Deferred revenue—extended protection plans	863
Other liabilities	1,199
Total liabilities	32,206
Shareholders’ equity
Preferred stock—$5 par value, none issued	-
Common stock—$0.50 par value	418
Capital in excess of par value	-
Retained earnings	3,602
Accumulated other comprehensive loss	(218)
Total shareholders’ equity	3,802
Total liabilities and shareholders’ equity	$36,008

Identify and compute net operating assets (NOA) as of February 1, 2019. Assume that long‑term investments are nonoperating.

	Feb. 01, 2019
NOA	Answer

Expert Solution

Trending now

This is a popular solution!

Step by step

Solved in 3 steps with 2 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions