Refer to the balance sheet information below for Home Depot. Feb. 3, 2019 Jan. 28, 2018 $35,891 $34,794 1,511 $37,402 $14,177 24,822 $38,999 Operating assets Nonoperating assets Total assets Operating liabilities Nonoperating liabilities Total liabilities Net sales Operating expense before tax Net operating profit before tax (NOPBT) Other expense Income before tax Tax expense Net income $ millions Net income $ Assume a statutory tax rate of 22%. a. Compute NOPAT for the year ended Feb. 3, 2019 using the formula: NOPAT = Net income + NNE NNE NOPAT $ 9,453 $ 7,361 * $ 7,361 * $ $91,973 78,772 13,201 828 12,373 2,920 $9,453 3,056 $37,850 $13,640 22,974 $36,614 b. Compute NOPAT for the year ended Feb. 3, 2019 using the formula: NOPAT = NOPBT - Tax on operating profit NOPBT Tax on operating profit NOPAT 10,296.78 x $ 16814 -2936

Refer to the balance sheet information below for Home Depot. Feb. 3, 2019 Jan. 28, 2018 $35,891 $34,794 1,511 $37,402 $14,177 24,822 $38,999 Operating assets Nonoperating assets Total assets Operating liabilities Nonoperating liabilities Total liabilities Net sales Operating expense before tax Net operating profit before tax (NOPBT) Other expense Income before tax Tax expense Net income $ millions Net income $ Assume a statutory tax rate of 22%. a. Compute NOPAT for the year ended Feb. 3, 2019 using the formula: NOPAT = Net income + NNE NNE NOPAT $ 9,453 $ 7,361 * $ 7,361 * $ $91,973 78,772 13,201 828 12,373 2,920 $9,453 3,056 $37,850 $13,640 22,974 $36,614 b. Compute NOPAT for the year ended Feb. 3, 2019 using the formula: NOPAT = NOPBT - Tax on operating profit NOPBT Tax on operating profit NOPAT 10,296.78 x $ 16814 -2936

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

Module pute Net Operating Profit after Tax
Refer to the balance sheet information below for Home Depot.
Feb. 3, 2019 Jan. 28, 2018
$35,891
$34,794
1,511
3,056
$37,402
$37,850
$14,177
$13,640
24,822
22,974
$38,999
$36,614
Operating assets
Nonoperating assets
Total assets
$ millions
Operating liabilities
Nonoperating liabilities
Total liabilities
Net sales
Operating expense before tax
Net operating profit before tax (NOPBT)
Other expense
Income before tax
Tax expense
Net income
Assume a statutory tax rate of 22%.
a. Compute NOPAT for the year ended Feb. 3, 2019 using the formula: NOPAT = Net income + NNE
Net income
NNE
NOPAT
$
9,453 $
$
$91,973
78,772
13,201
828
12,373
2,920
$9,453
7,361 * $
16814
b. Compute NOPAT for the year ended Feb. 3, 2019 using the formula: NOPAT = NOPBT - Tax on operating profit
NOPBT Tax on operating profit
7,361 * $
10,296.78 x $
NOPAT
-2936

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