The purpose of the third part of the comprehensive project is to use resources available to obtain industry averages for commonly used ratios. Additionally, you will compare company(Home Depot) ratio results to industry averages.
- Obtain the four-digit primary SIC (Standard Industrial Classification) Code and industry title for your company(Home Depot). Record the primary SIC code and industry title at the top of the Ratio Analysis Worksheet.
- Obtain industry averages for commonly used ratios in the current period. Industry(Home Depot) average information is reported by industry title or SIC code.