Ratio of Liabilities to Stockholders' Equity The Builder's Outlet, is the world's largest home improvement retailer and one of the largest retailers in the United States based on net sales volume. The Builder's Outlet operates over 2,200 Builder's Outlet stores that sell a wide assortment of building materials and home improvement and lawn and garden products Builder's Outlet recently reported the following balance sheet data (in millions): Year 1 $113,724 35,100 Year 2 Total assets $49,725 Total stockholders' equity 32,500 a. Determine the total liabilities at the end of Years 2 and 1. Year 2 millon million Year 1 b. Determine the ratio of liabilities to stockholders equity for Year 2 and Year 1. Round your answers to two decimal places. Year 2 Year 1 c. The ratio of liabilities to stockholders' equity indicating nisk for creditors from Year 1 to Year 2.

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Ratio of Liabilities to Stockholders' Equity
The Builder's Outlet, is the world's largest home improvement retailer and one of the largest retailers in the United States based on net sales volume. The Builder's Outlet operates
over 2,200 Builder's Outlet stores that sell a wide assortment of building materials and home improvement and lawn and garden products.
Builder's Outlet recently reported the following balance sheet data (in millions):
Year 2
Year 1
Total assets
$49,725
$113,724
Total stockholders' equity
32,500
35,100
a. Determine the total liabilities at the end of Years 2 and 1.
Year 2
million
Year 1
million
<b. Determine the ratio of liabilities to stockholders equity for Year 2 and Year 1. Round your answers to two decimal places.
Year 2
Year 1
c. The ratio of liabilities to stockholders' equity
indicating
in risk for creditors from Year 1 to Year 2.
Transcribed Image Text:Ratio of Liabilities to Stockholders' Equity The Builder's Outlet, is the world's largest home improvement retailer and one of the largest retailers in the United States based on net sales volume. The Builder's Outlet operates over 2,200 Builder's Outlet stores that sell a wide assortment of building materials and home improvement and lawn and garden products. Builder's Outlet recently reported the following balance sheet data (in millions): Year 2 Year 1 Total assets $49,725 $113,724 Total stockholders' equity 32,500 35,100 a. Determine the total liabilities at the end of Years 2 and 1. Year 2 million Year 1 million <b. Determine the ratio of liabilities to stockholders equity for Year 2 and Year 1. Round your answers to two decimal places. Year 2 Year 1 c. The ratio of liabilities to stockholders' equity indicating in risk for creditors from Year 1 to Year 2.
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