Maximum 7 pages (excluding the financial statements included as attachments ‘ see details in the Attachments Section) Spacing: Double line spacing Font: Times New
Roman, 11 Margin: 1 inch on each side (top, bottom, left and right) B. Contents of Paper You need to perform calculations and analysis for two companies: The Home
Depot, Inc and Lowe’s Companies, Inc. Use the following links to access the financials (Consolidated Balance Sheets, Consolidated Statement of Earnings and Notes
to the Financial Statements) of these two companies on the internet: Home Depot: http://phx.corporate-ir.net/phoenix.zhtml?c=63646&p=irol-reportsannual Lowe’s:
http://www.lowes.com/AboutLowes/AnnualReports/annual_report_11/includes/pdfs/Lowes_Form10K.pdf
http://www.lowes.com/AboutLowes/AnnualReports/annual_report_10/financials.html Fiscal Year 2011 and 2010 Home Depot ‘ Year ended January, 29 2012 (2011) and
January 30, 2011 (2010) Lowe’s ‘ Year Ended February 3, 2012 (2011) and January 28, 2011 (2010) Calculations Required: Calculate the following ratios or
percentages for Home Depot and Lowe’s (for both fiscal year ended 2011 and 2010) ‘ ROI (shows ROI, Margin and Turnover separately) ‘ ROE ‘ Working Capital ‘
Current Ratio ‘ Acid Test Ratio ‘ Leverage Analysis Required: Explain from your point of view how these two companies performed financially based on the ratios you
calculate. In particular: a) Did Home Depot do better or worse in fiscal year 2011 compared to 2010 based on your calculations? You have to comment on every ratio
you calculate. b) Do the same steps for Lowe’s as in a) above. c) Whether Home Depot did better or worse than Lowe’s for both fiscal year ended 2011 and 2010
respectively. Your comments should be based on each ratio you calculate for both fiscal year ended 2011 and 2010. d) On an overall basis, which company you think
performed better in 2011? In 2010. Why? Attachments You have to attach the financials (Balance Sheets and Statements of Earnings) for these two companies at the
end of your paper as follows: Home Depot – Attachment 1 Lowe’s – Attachment 2.





