Before you begin this assignment, review the Tying It All Together feature in the chapter. It will also be helpful if you review Dick’s Sporting Goods, Inc.’s 2018 annual report (https://www.sec.gov/Archives/edgar/data/1089063/000108906319000017/dks-10k_20190202.
htm).
Dick’s Sporting Goods, Inc. is headquartered in Pennsylvania and is a leading sporting goods retailer. Dick’s offers a variety of high-quality sports equipment, apparel, footwear and accessories. The company sells inventory in their stores (Dick’s Sporting Goods, Golf Galaxy, Field & Stream, and True Runner) and online through their Web site.
Requirements

1. On which financial statement would you find Merchandise Inventory? What was the amount of merchandise inventory as of February 2, 2019, and February 3, 2018?
2. On which financial statement would you find Cost of Goods Sold? What does Cost of Goods Sold represent? What was the amount of cost of goods sold for fiscal year ended February 2, 2019, and fiscal year ended February 3, 2018?
3. How could you determine the amount of profit that Dick’s Sporting Goods earns when selling its merchandise inventory?
What is this amount for the fiscal year ending February 2, 2019? Provide the calculation for gross profit.