Suppose the following data were taken from the 2025 and 2024 financial statements of American Eagle Outfitters. (All numbers, including share data, are in thousands.)

InstructionsPerform each of the following.a. Calculate the current ratio for each year.b. Calculate earnings per share for each year.c. Calculate the debt to assets ratio for each year.d. Discuss American Eagle’s solvency in 2025 versus 2024.

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Current assets Total assets Current liabilities Total liabilities Net income Dividends paid on common stock Weighted-average common shares outstanding 2025 $ 925,359 1,963,676 401,763 554,645 179,061 82,394 205,169 2024 $1,020,834 1,867,680 376,178 527,216 400,019 80,796 216,119