ACCESS Test Bank for Financial Accounting for Managers 1st Edition Thoma
g g g g g g g g g g
s
CHAPTER 1 g
A FRAMEWORK FOR FINANCIAL ACCOUNTING
g g g g
g REAL WORLD PERSPECTIVES
g g
RWP1-1 EDGAR Nike (ticker: NKE)
g g g g
Requirementg1
a. $23,717gmillion
b. $9,040gmillion
c. Totalgliabilitiesg=gTotalgassetsg–gtotalgshareholder’sgequity
$23,717g–g$9,040g=g$14,677gmillion
Requirementg2
a. $39,117gmillion.gRevenuegincreasedgfromgthegpreviousgyear.
b. $4,029gmillion.gNetgincomegincreasedgfromgthegpreviousgyear.
Requirementg3
a. Operatinggcashgflowg=g$5,903gmillion.gOperatinggcashgflowgwasgmoregpositive
thangthegpreviousgyear.
b. Investinggcashgflowg=g−$264gmillion.gInvestinggcashgflowgwentgfromgpositivegtog
negativegfromgthegpreviousgyear.
c. Financinggcashgflowg=g−$5,293gmillion.gFinancinggcashgflowgwasgmoregnegative
thangthegpreviousgyear.
RWP1-2 EDGAR Netflix Inc (ticker: NFLX)
g g g g g
Requirementg1
a. Averagegpayinggmembershipgincreasedgbyg23%gandgaveragegmonthlygrevenuegperg
payinggmembershipgincreasedgbyg5%.
b. $2,795,434g/g$20,156,447g=g13.9%
c. $2,652,462,g13%gofgrevenues
Requirementg2
a. $9,801,215g/g$24,504,567g=g40%
b. $33,141gmillion
©McGrawgHillgLLC.gAllgrightsgreserved.gNogreproductiongorgfurthergdistributiongpermittedgwithoutgthegpriorgwrittengconsentgofgMcGrawgHillgLLC.
SolutionsgManual,g Chapterg1 1-1
mynursytest.store
,ACCESS Test Bank for Financial Accounting for Managers 1st Edition Thoma
g g g g g g g g g g
s
Requirementg3
a. $20,723,441.g Long-termgdebtgwentgupgfromgthegpreviousgyear.
b. $736,969
Requirementg4
9%
Requirementg5
a. Ernstg&gYounggLLP
b. Yes
RWP1-3 EDGAR General Mills Inc. (ticker: GIS)
g g g g g g
Requirementg1
FirstgQuarter.
Requirementg2
Augustg26,g2018.g Thegsamegquartergofglastgyeargisgusedgasgthegcomparisongquarter.
Requirementg3
Thegquarterlygreportgincludesg15gnotes.
RWP1-4 EDGAR Nordstrom Inc. (ticker: JWN)
g g g g g
Requirementg1
ThegCOVID-19gpandemic.
Requirementg2
OngMarchg23,g2020,gthegCompanygannouncedgthatgitgwouldgbegtakinggseveralgstepsgingangabundancegofg
cautiongtogproactivelygstrengthengitsgfinancialgflexibilitygandgnavigategthroughgthisgunprecedentedgsitua
tion.gSpecifically,gthegCompanygsuspendedgitsgquarterlygdividendgbeginninggingthegsecondgquartergofg2
020,gdrewgdowng$800gmilliongongitsgRevolvinggCreditgFacility,gtargetedgfurthergreductionsgofgmoregtha
ng$500gmilliongingoperatinggexpenses,gcapitalgexpenditures,gandgworkinggcapital,gandgsuspendedgshareg
repurchases.
©McGrawgHillgLLC.gAllgrightsgreserved.gNogreproductiongorgfurthergdistributiongpermittedgwithoutgthegpriorgwrittengconsentgofgMcGrawgHillgLLC.
1-2 FinancialgAccountinggforgManagers
mynursytest.store
,ACCESS Test Bank for Financial Accounting for Managers 1st Edition Thoma
g g g g g g g g g g
s
RWP1-5 Financial Analysis: American Eagle
g g g g
($gingthousands)
Requirementg1
Totalgassets =g$3,328,679
Totalgliabilities =g$2,080,826
Stockholders’gequity =g$1,247,853
Assets = Liabilities + Stockholders’gEquity
$3,328,679 = $2,080,826 + $1,247,853
Requirementg2
ConsolidatedgStatementsgofgOperations
Requirementg3
Netgsales =g$4,308,212
Netgincome =g$191,257
Requirementg4
Inflows Outflows
Investinggactivities Salegofgavailable-for- Capitalgexpendituresgforgprop
saleginvestments ertygandgequipmentgRepurcha
Financinggactivities segofgcommongstock
Netgproceedsgfro
mgstockgoptionsgexer
cised
Requirementg5
Thegcompany’sgauditorgisgErnstg&gYounggLLP.
Thegauditorgstates,g“WeghavegauditedgthegaccompanyinggconsolidatedgbalancegsheetsgofgAmericangEagl
egOutfitters,gInc.g(thegCompany)gasgofgFebruaryg1,g2020gandgFebruaryg2,g2019,gthegrelatedgconsolidatedg
statementsgofgoperations,gcomprehensivegincome,gstockholders’gequitygandgcashgflowsgforgeachgofgthegt
hreegyearsgingthegperiodgendedgFebruaryg1,g2020,gandgthegrelatedgnotesg(collectivelygreferredgtogasgtheg“
consolidatedgfinancialgstatements”).gIngourgopinion,gthegconsolidatedgfinancialgstatementsgpresentgfairl
y,gingallgmaterialgrespects,gthegfinancialgpositiongofgthegCompanygatgFebruaryg1,g2020gandgFebruaryg2,g2
019,gandgthegresultsgofgitsgoperationsgandgitsgcashgflowsgforgeachgofgthegthreegyearsgingthegperiodgendedgF
ebruaryg1,g2020,gingconformitygwithgU.S.ggenerallygacceptedgaccountinggprinciples.”
©McGrawgHillgLLC.gAllgrightsgreserved.gNogreproductiongorgfurthergdistributiongpermittedgwithoutgthegpriorgwrittengconsentgofgMcGrawgHillgLLC.
mynursytest.store
, ACCESS Test Bank for Financial Accounting for Managers 1st Edition Thoma
g g g g g g g g g g
s
SolutionsgManual,g Chapterg1 1-3
mynursytest.store
g g g g g g g g g g
s
CHAPTER 1 g
A FRAMEWORK FOR FINANCIAL ACCOUNTING
g g g g
g REAL WORLD PERSPECTIVES
g g
RWP1-1 EDGAR Nike (ticker: NKE)
g g g g
Requirementg1
a. $23,717gmillion
b. $9,040gmillion
c. Totalgliabilitiesg=gTotalgassetsg–gtotalgshareholder’sgequity
$23,717g–g$9,040g=g$14,677gmillion
Requirementg2
a. $39,117gmillion.gRevenuegincreasedgfromgthegpreviousgyear.
b. $4,029gmillion.gNetgincomegincreasedgfromgthegpreviousgyear.
Requirementg3
a. Operatinggcashgflowg=g$5,903gmillion.gOperatinggcashgflowgwasgmoregpositive
thangthegpreviousgyear.
b. Investinggcashgflowg=g−$264gmillion.gInvestinggcashgflowgwentgfromgpositivegtog
negativegfromgthegpreviousgyear.
c. Financinggcashgflowg=g−$5,293gmillion.gFinancinggcashgflowgwasgmoregnegative
thangthegpreviousgyear.
RWP1-2 EDGAR Netflix Inc (ticker: NFLX)
g g g g g
Requirementg1
a. Averagegpayinggmembershipgincreasedgbyg23%gandgaveragegmonthlygrevenuegperg
payinggmembershipgincreasedgbyg5%.
b. $2,795,434g/g$20,156,447g=g13.9%
c. $2,652,462,g13%gofgrevenues
Requirementg2
a. $9,801,215g/g$24,504,567g=g40%
b. $33,141gmillion
©McGrawgHillgLLC.gAllgrightsgreserved.gNogreproductiongorgfurthergdistributiongpermittedgwithoutgthegpriorgwrittengconsentgofgMcGrawgHillgLLC.
SolutionsgManual,g Chapterg1 1-1
mynursytest.store
,ACCESS Test Bank for Financial Accounting for Managers 1st Edition Thoma
g g g g g g g g g g
s
Requirementg3
a. $20,723,441.g Long-termgdebtgwentgupgfromgthegpreviousgyear.
b. $736,969
Requirementg4
9%
Requirementg5
a. Ernstg&gYounggLLP
b. Yes
RWP1-3 EDGAR General Mills Inc. (ticker: GIS)
g g g g g g
Requirementg1
FirstgQuarter.
Requirementg2
Augustg26,g2018.g Thegsamegquartergofglastgyeargisgusedgasgthegcomparisongquarter.
Requirementg3
Thegquarterlygreportgincludesg15gnotes.
RWP1-4 EDGAR Nordstrom Inc. (ticker: JWN)
g g g g g
Requirementg1
ThegCOVID-19gpandemic.
Requirementg2
OngMarchg23,g2020,gthegCompanygannouncedgthatgitgwouldgbegtakinggseveralgstepsgingangabundancegofg
cautiongtogproactivelygstrengthengitsgfinancialgflexibilitygandgnavigategthroughgthisgunprecedentedgsitua
tion.gSpecifically,gthegCompanygsuspendedgitsgquarterlygdividendgbeginninggingthegsecondgquartergofg2
020,gdrewgdowng$800gmilliongongitsgRevolvinggCreditgFacility,gtargetedgfurthergreductionsgofgmoregtha
ng$500gmilliongingoperatinggexpenses,gcapitalgexpenditures,gandgworkinggcapital,gandgsuspendedgshareg
repurchases.
©McGrawgHillgLLC.gAllgrightsgreserved.gNogreproductiongorgfurthergdistributiongpermittedgwithoutgthegpriorgwrittengconsentgofgMcGrawgHillgLLC.
1-2 FinancialgAccountinggforgManagers
mynursytest.store
,ACCESS Test Bank for Financial Accounting for Managers 1st Edition Thoma
g g g g g g g g g g
s
RWP1-5 Financial Analysis: American Eagle
g g g g
($gingthousands)
Requirementg1
Totalgassets =g$3,328,679
Totalgliabilities =g$2,080,826
Stockholders’gequity =g$1,247,853
Assets = Liabilities + Stockholders’gEquity
$3,328,679 = $2,080,826 + $1,247,853
Requirementg2
ConsolidatedgStatementsgofgOperations
Requirementg3
Netgsales =g$4,308,212
Netgincome =g$191,257
Requirementg4
Inflows Outflows
Investinggactivities Salegofgavailable-for- Capitalgexpendituresgforgprop
saleginvestments ertygandgequipmentgRepurcha
Financinggactivities segofgcommongstock
Netgproceedsgfro
mgstockgoptionsgexer
cised
Requirementg5
Thegcompany’sgauditorgisgErnstg&gYounggLLP.
Thegauditorgstates,g“WeghavegauditedgthegaccompanyinggconsolidatedgbalancegsheetsgofgAmericangEagl
egOutfitters,gInc.g(thegCompany)gasgofgFebruaryg1,g2020gandgFebruaryg2,g2019,gthegrelatedgconsolidatedg
statementsgofgoperations,gcomprehensivegincome,gstockholders’gequitygandgcashgflowsgforgeachgofgthegt
hreegyearsgingthegperiodgendedgFebruaryg1,g2020,gandgthegrelatedgnotesg(collectivelygreferredgtogasgtheg“
consolidatedgfinancialgstatements”).gIngourgopinion,gthegconsolidatedgfinancialgstatementsgpresentgfairl
y,gingallgmaterialgrespects,gthegfinancialgpositiongofgthegCompanygatgFebruaryg1,g2020gandgFebruaryg2,g2
019,gandgthegresultsgofgitsgoperationsgandgitsgcashgflowsgforgeachgofgthegthreegyearsgingthegperiodgendedgF
ebruaryg1,g2020,gingconformitygwithgU.S.ggenerallygacceptedgaccountinggprinciples.”
©McGrawgHillgLLC.gAllgrightsgreserved.gNogreproductiongorgfurthergdistributiongpermittedgwithoutgthegpriorgwrittengconsentgofgMcGrawgHillgLLC.
mynursytest.store
, ACCESS Test Bank for Financial Accounting for Managers 1st Edition Thoma
g g g g g g g g g g
s
SolutionsgManual,g Chapterg1 1-3
mynursytest.store
