Refer to the financial information for Under Armour and Columbia Sportswear reproduced at the end of this book and answer the following questions:

Required
1. What is the dollar amount of inventories that each company reports on its balance sheet at the end of the most recent year? What percentage of total assets do inventories represent for each company?
2. Refer to Note 2 in Under Armour’s annual report. What inventory valuation method does the company use?
3. Refer to Note 2 in Columbia Sportswear’s annual report. What inventory valuation method does the company use?
4. How do both companies deal with situations in which the market value of inventory is less than its cost?
5. Given the nature of their businesses, which inventory system, periodic or perpetual, would you expect both Under Armour and Columbia Sportswear to use? Explain your answer.