Listed Below Is the Net Sales in $ Million for Home

question 2

Multiple Choice

Listed below is the net sales in $ million for Home Depot Inc., and its subsidiaries from 1994 to
2003.
Using the printout below, what are the estimated sales for 2011?

• A) $90,618.6 Million
• B) $97,082.5 Million
• C) $116,474.2 Million
• D) $103,546.4 Million
• E) $110,010.3 Million

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Definitions:

Financial Leverage

The use of borrowed funds with a fixed cost in order to increase the potential return to shareholders.

Incremental

Relating to or denoting an increase or addition, especially one of a series on a fixed scale.

After-tax Cost

The cost of financing or an expense after accounting for the effects of income tax, often used to compare the true costs of financing options.

Customer Loyalty

The likelihood of repeated business from a customer demonstrated by their repeat purchases or preference for a business's product or service over competitors.