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 $142,618 Cost of sales 96,802 Gross margin 45,816 Expenses Selling, general and administrative 34,826 Depreciation and amortization 2,954 Operating income 8,036 Interest expense, net 1,248 Pretax earnings 6,788 Income tax provision 2,160 Net earnings $4,628 Compute its net operating profit after tax (NOPAT) for the 12 months ended February 1, 2019, assuming a 22% total statutory tax rate. Note: Round your answer to the nearest whole dollar (millions).
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 $142,618 Cost of sales 96,802 Gross margin 45,816 Expenses Selling, general and administrative 34,826 Depreciation and amortization 2,954 Operating income 8,036 Interest expense, net 1,248 Pretax earnings 6,788 Income tax provision 2,160 Net earnings $4,628 Compute its net operating profit after tax (NOPAT) for the 12 months ended February 1, 2019, assuming a 22% total statutory tax rate. Note: Round your answer to the nearest whole dollar (millions).
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter5: The Income Statement And The Statement Of Cash Flows
Section: Chapter Questions
Problem 16E
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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 | $142,618 | |
Cost of sales | 96,802 | |
Gross margin | 45,816 | |
Expenses | ||
Selling, general and administrative | 34,826 | |
2,954 | ||
Operating income | 8,036 | |
Interest expense, net | 1,248 | |
Pretax earnings | 6,788 | |
Income tax provision | 2,160 | |
Net earnings | $4,628 |
Compute its
Note: Round your answer to the nearest whole dollar (millions).
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