Jos. A. Bank Clothiers, Inc., operates 602 retail clothing stores in 44 states and the District of
Question:
Jos. A. Bank Clothiers, Inc., operates 602 retail clothing stores in 44 states and the District of Columbia. The Men€™s Wearhouse, Inc., operates 1,075 men€™s clothing stores in the United States, and 1,143 in Canada. These stores do business under the names Men€™s Wearhouse , K&G Fashion Superstores , and Moores Clothing for Men . The following information was taken from these companies€™ February 2, 2013, annual reports. All dollar amounts are in thousands.
Required
a. Calculate the EBIT for each company.
b. Calculate each company€™s debt to assets ratio, current ratio, and the times interest earned ratio.
c. Calculate each company€™s return on assets ratio using EBIT instead of net earnings. Calculate each co m pany€™s return on equity ratio using net earnings.
d. Men€™s Wearhouse reported interest expense of $1,544, before taxes. What was its after-tax interest expense in dollars?
Step by Step Answer:
Fundamental Financial Accounting Concepts
ISBN: 978-0078025907
9th edition
Authors: Thomas Edmonds, Christopher Edmonds