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AMERICAN EAGLE OUTFITTERS, INC. Consolidated Balance Sheets (In thougands, except per share amounts) Assets Current assets: Cash and cash equivalents Short-term investments (available for sale)

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AMERICAN EAGLE OUTFITTERS, INC. Consolidated Balance Sheets (In thougands, except per share amounts) Assets Current assets: Cash and cash equivalents Short-term investments (available for sale) Merchandise irventory Accounts recelvable, net Prepaid expenses and other Total cument assets Property and equipment, at cost, net of accumulated depreciation - Operating lease right-of-use assets Intang ble assets, net including goodwill Non-current deferred income taxes Other assets Total assets Llabllities and Stockholders' Equity Current liabilities: Accounts payable: Cument portion of operating lease tiabilities Accrued income and other taxes. Accrued compensation and payroll taxes Unredeemed git cards and gift certificates Other current liabilities and accrued expenses Total current liabilities Non-current liabilities: Non-current operating lease liablities Other non-current liabilites Total non-current liabilities Cornmitments and contingencies Stockholders' equity: Preferted stock, 50.01 par value; 5.000 shares authorized; none issued and outstanding Common stock, 50.01 par value; 600,000 shares authorized; 249,566 shares issued; 166,993 and 172,436 shares outstanding. respectively Contributed capital Accumulated other comprehensive loss, net of tax Retained earningt Treasury stock, 82,573 and 77,130 shares, respectively, at cost Total stockholders' equity Total liabilties and stockholders' equity AMERICAN EAGLE OUTFITTERS, INC. Consolidated Statements of Operations For the Years Ended (In thousands, except per ahace amounta) Total net revenue Cost of sales, including certain buying, occupancy and warehousing expenses Gross profit Selling. general and administrative expenses Impairment and restructuring charges Depreciation and amortization expense Operating income Other income (expense), net Income before income taxes Provision for income taxies Net income. Basic net income per common share \begin{tabular}{rrrr} \hline 2,785,911 & 2,548,082 & 2,425,044 \\ \hline 1,522,301 & 1,487,638 & 1,370,505 \\ 1,029,412 & 980,610 & 879,685 \\ 80,494 & 1,568 & 20,611 \\ 179,050 & 168,331 & 167,421 \\ \hline 233,345 & 337,129 & 302,788 \\ \hline 11,933 & 7,971 & (15,615) \\ \hline 245,278 & 345,100 & 287,173 \\ \hline 54,021 \\ \hline 191,257 & 83,198 & 83,010 \\ \hline 5 & 251,902 & 204,163 \\ \hline \end{tabular} Diluted net income per common share Weighted average common shares outstanding - basic Weighted average common shares outstanding - dluted AMERICAN EAGLE OUTFITTERS, INC. Consolidated Statements of Cash Flows American Eagle Outfitters, Inc. RWP12-2 Financial information for American Eagle is presented in Appendix A at the end of the book. Required: 1. Calculate the following risk ratios for the most recent year: a. Receivables turnover ratio. b. Average collection period. c. Inventory turnover ratio. d. Average days in inventory. e. Current ratio. f. Acid-test ratio. g. Debt to equity ratio. 2. Calculate the following profitability ratios for the most recent year: a. Gross profit ratio. b. Return on assets. c. Profit margin. d. Asset turnover. e. Return on equity

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