2. Financial Ratios. Refer to the table below with the three listed ratios. The ratios for Best Buy and Titfany's are provided below. You are to do American Eagie Outhtters (AEO). (and also include its numerator or denominator: Explain why these ratios below are to-shed light in terms of the Company's debt/risk management. Identily whether the higher (or lower) of these ratios is better and why? Copy and paste the table in your discussion. Calculate the below ratios (sec table) - The calculation may call for averages (of prior year and current-year balance). You may just use the current year ending balance if you don't have prior years (in Clairemont's). - Shows the calculation for each of your calculation.. what goes into numerator and denominator. Focus on Coke vi. Pepsi. Which one in your opinion leads in terms of "debt/risk management? 3. Real-world application. Referring to the excel. how much is the expense related to that payroll recorded by employer? Why is your gross paycheck never be the same as net pay? Why is there a payable recorded for payroll? " Interest expense for AEO is assumed to be $5000K in the current year and is recorded in the other income (expense) line of the "income statement:" "Provision for income taxes in AEO is the tax expense. AMERICAN EAGLE OUTFITTERS. INC. AMERICAN EAGLE O UTFITTERS, INC. Consolidated Statements of Operations Basic income per common share: Diluted income per common share: Income from continuing operations Discontinued operations Weighted average common shares outstanding - basic Weighted average common shares oulstanding - diluted Refer to Notes to Consolidated Financial Statements AMERICAN FAGIF OUTEITTERS INC Reler to Notes to Consolidated Financial Statements AMERICAN EAGLE OUTFITTERS, INC. Conenlidated Statemente of Stnekhnldare' Fouitu 249,566 issued and 181,886 outstanding, s0.01 par value common stock at January 28, 2017, 600,000 authorized, 249,566 issued and