Formulating Financial Statements from Raw Data and Calculating Ratios

Following is selected financial information from Five Below for its fiscal year ended February 2, 2019 ($ thousands).

Noncash assets, end of year	$637,470	Stockholders' equity, end of year	$559,736
Cash from investing activities	(35,920)	Cash from financing activities	(5,080)
Cash, end of year	229,091	Total assets, beginning of year	633,094
Total liabilities, end of year	306,825	Cost of goods sold (COGS)	904,975
Revenue	1,419,202	Cash, beginning of year	102,530
Stockholders' equity, beginning of year	417,288	Total expenses, other than COGS and income tax	339,683
Cash from operating activities	167,561	Income tax expense	38,367

Required

a. Prepare the income statement for the year ended February 2, 2019. Note: Do not use negative signs with any of your answers.

Five Below
Income Statement ($ thousands)
For the year ended February 2, 2019
AnswerCashCash from financing activitiesCash from investing activitiesCash from operating activitiesCash beginning yearCash ending yearCost of goods soldExpensesGross profitIncome before taxesIncome tax expenseLiabilitiesNet incomeNet increase (decrease) in cashNoncash assetsRevenuesStockholders' equityTotal assetsTotal liabilities and equity	Answer
AnswerCashCash from financing activitiesCash from investing activitiesCash from operating activitiesCash beginning yearCash ending yearCost of goods soldExpensesGross profitIncome before taxesIncome tax expenseLiabilitiesNet incomeNet increase (decrease) in cashNoncash assetsRevenuesStockholders' equityTotal assetsTotal liabilities and equity	Answer
AnswerCashCash from financing activitiesCash from investing activitiesCash from operating activitiesCash beginning yearCash ending yearCost of goods soldExpensesGross profitIncome before taxesIncome tax expenseLiabilitiesNet incomeNet increase (decrease) in cashNoncash assetsRevenuesStockholders' equityTotal assetsTotal liabilities and equity	Answer
AnswerCashCash from financing activitiesCash from investing activitiesCash from operating activitiesCash beginning yearCash ending yearCost of goods soldExpensesGross profitIncome before taxesIncome tax expenseLiabilitiesNet incomeNet increase (decrease) in cashNoncash assetsRevenuesStockholders' equityTotal assetsTotal liabilities and equity	Answer
AnswerCashCash from financing activitiesCash from investing activitiesCash from operating activitiesCash beginning yearCash ending yearCost of goods soldExpensesGross profitIncome before taxesIncome tax expenseLiabilitiesNet incomeNet increase (decrease) in cashNoncash assetsRevenuesStockholders' equityTotal assetsTotal liabilities and equity	Answer
AnswerCashCash from financing activitiesCash from investing activitiesCash from operating activitiesCash beginning yearCash ending yearCost of goods soldExpensesGross profitIncome before taxesIncome tax expenseLiabilitiesNet incomeNet increase (decrease) in cashNoncash assetsRevenuesStockholders' equityTotal assetsTotal liabilities and equity	Answer
AnswerCashCash from financing activitiesCash from investing activitiesCash from operating activitiesCash beginning yearCash ending yearCost of goods soldExpensesGross profitIncome before taxesIncome tax expenseLiabilitiesNet incomeNet increase (decrease) in cashNoncash assetsRevenuesStockholders' equityTotal assetsTotal liabilities and equity	Answer

b. Prepare the balance sheet as of February 2, 2019.

Five Below
Balance Sheet ($ thousands)
February 2, 2019
AnswerCashCash from financing activitiesCash from investing activitiesCash from operating activitiesCash beginning yearCash ending yearCost of goods soldExpensesGross profitIncome before taxesIncome tax expenseLiabilitiesNet incomeNet increase (decrease) in cashNoncash assetsRevenuesStockholders' equityTotal assetsTotal liabilities and equity	Answer	AnswerCashCash from financing activitiesCash from investing activitiesCash from operating activitiesCash beginning yearCash ending yearCost of goods soldExpensesGross profitIncome before taxesIncome tax expenseLiabilitiesNet incomeNet increase (decrease) in cashNoncash assetsRevenuesStockholders' equityTotal assetsTotal liabilities and equity	Answer
AnswerCashCash from financing activitiesCash from investing activitiesCash from operating activitiesCash beginning yearCash ending yearCost of goods soldExpensesGross profitIncome before taxesIncome tax expenseLiabilitiesNet incomeNet increase (decrease) in cashNoncash assetsRevenuesStockholders' equityTotal assetsTotal liabilities and equity	Answer	AnswerCashCash from financing activitiesCash from investing activitiesCash from operating activitiesCash beginning yearCash ending yearCost of goods soldExpensesGross profitIncome before taxesIncome tax expenseLiabilitiesNet incomeNet increase (decrease) in cashNoncash assetsRevenuesStockholders' equityTotal assetsTotal liabilities and equity	Answer
AnswerCashCash from financing activitiesCash from investing activitiesCash from operating activitiesCash beginning yearCash ending yearCost of goods soldExpensesGross profitIncome before taxesIncome tax expenseLiabilitiesNet incomeNet increase (decrease) in cashNoncash assetsRevenuesStockholders' equityTotal assetsTotal liabilities and equity	Answer	AnswerCashCash from financing activitiesCash from investing activitiesCash from operating activitiesCash beginning yearCash ending yearCost of goods soldExpensesGross profitIncome before taxesIncome tax expenseLiabilitiesNet incomeNet increase (decrease) in cashNoncash assetsRevenuesStockholders' equityTotal assetsTotal liabilities and equity	Answer

c. Prepare the statement of cash flows for the year ended February 2, 2019. Note: Use a negative sign with your answer to indicate cash was used by activities and/or a decrease in cash.

Five Below
Statement of Cash Flow ($ thousands)
For the year ended February 2, 2019
AnswerCashCash from financing activitiesCash from investing activitiesCash from operating activitiesCash beginning yearCash ending yearCost of goods soldExpensesGross profitIncome before taxesIncome tax expenseLiabilitiesNet incomeNet increase (decrease) in cashNoncash assetsRevenuesStockholders' equityTotal assetsTotal liabilities and equity	Answer
Cash from investing activities	Answer
Cash from financing activities	Answer
AnswerCashCash from financing activitiesCash from investing activitiesCash from operating activitiesCash beginning yearCash ending yearCost of goods soldExpensesGross profitIncome before taxesIncome tax expenseLiabilitiesNet incomeNet increase (decrease) in cashNoncash assetsRevenuesStockholders' equityTotal assetsTotal liabilities and equity	Answer
AnswerCashCash from financing activitiesCash from investing activitiesCash from operating activitiesCash beginning yearCash ending yearCost of goods soldExpensesGross profitIncome before taxesIncome tax expenseLiabilitiesNet incomeNet increase (decrease) in cashNoncash assetsRevenuesStockholders' equityTotal assetsTotal liabilities and equity	Answer
AnswerCashCash from financing activitiesCash from investing activitiesCash from operating activitiesCash beginning yearCash ending yearCost of goods soldExpensesGross profitIncome before taxesIncome tax expenseLiabilitiesNet incomeNet increase (decrease) in cashNoncash assetsRevenuesStockholders' equityTotal assetsTotal liabilities and equity	Answer

d. Compute ROA. e. Compute profit margin (PM). f. Compute asset turnover (AT). g. Compute ROE.

Notes: Round ROA, PM, & ROE to one decimal place (ex: 10.5%) Round Asset turnover to two decimal places (0.33)

ROA	Answer
PM	Answer
AT	Answer
ROE	Answer