Finding Financial Information Refer to the financial statements of Urban Outfitters given in Appendix C at the end of this book. Required: 1. Does Urban Outfitters use the direct or indirect method to report cash flows from operating activities? 2. What amount of tax payments did the company make during the most recent reporting year? (Hint: The statement of cash flows may be helpful to answer this question.) 3. Explain why the share-based compensation" and "depreciation and amortization items were added in the reconciliation of net income to net cash provided by operating activities. 4. Has the company paid cash dividends during the last three years? How do you know? 5. What was free cash flow for the year ended January 31, 2015? Fiscal Year Ended 2017* 2015 2014 2013 (dollars in thousands, excluding net sales per gross square foot and per share data) 2016 Statement of Operations Data: Net sales S 2,138,030 $ 2,192,547 $ 2,350,129 $ 2,165,481 $ 2,219,125 Cost of goods sold, buying and occupancy costs $ 1,522,797 $ 1,529,343 $ 1,554,852 $ 1,504,527 $ 1,501,418 Gross profit $ 615,233 $ 663,204 S 795,277 $ 660,954 $ 717,707 $ 562,088 $ 559,541 $ 587,747 $ 524,041 $ 504,277 Selling, general, and administrative expenses Operating income $ 29,740 $ 103,601 $ 207,238 $ 136,597 $ 214,259 Net income $ 19,366 $ 57,417 $ 116,513 $ 68,325 S 116,539 Dividends declared per share S $ S $ $ Earnings per share: Basic $ 0.25 $ 0.73 $ 1.39 $ 0.81 $ 1.38 Diluted S 0.25 $ 0.73 $ 1.38 $ 0.81 $ 1.37 Weighted Average Diluted Shares Outstanding 78,870 79,049 84,591 84,554 85,068 Other Financial and Operating Data: Comparable sales Comparable sales (excluding e-commerce sales) (9)% 6% (5)% (3)% (10)% 3 % (1)% (12)% 4% (7)% 5,487 5,604 5,573 5,529 5,439 Total gross square feet (in thousands) (average) Number of stores (at year end) 635 656 653 641 632 Capital expenditures 57,435 98,712 115,343 $ 115,088 105,368 Balance Sheet Data (at period end): Cash and cash equivalents Working capital S 236,222 $ 207,373 $ 186,903 $ 346,159 s 311,884 38,050 24,363 19,113 20,618 (27,630) Total assets 1,187,607 1,185,189 1,178,644 1,278,150 1,182,670 Total debt 199,527 199,170 Total stockholders' equity $ 654,000 $ 635,687 $ 617,953 $ 556,339 $ 474,569 * 2017 represents a 53-week year