GILDAN ACTIVEWEAR INC. 2021 ANNUAL INFORMATION FORM

1What does the debt to total assets ratio measure in general? Calculate the debt to total assets ratio for the fiscal year(s) show in the financial statements. What do your results suggest about the company? If it is not feasible to calculate for a year in the financial statements, indicate why not, and what you would do to obtain the necessary information.(5 marks)

2Calculate the receivables turnover ratio and the average collection period for the fiscal year(s) shown in the financial statements. If it is not feasible to calculate for a year in the financial statements, indicate why not, and what you would do to obtain the necessary information. (5 marks)

3Given the information in the annual report, what are the adjusting journal entries that Gildan Activewear Inc. would have performed to recognize the bad debts expense for the fiscal years shown in the financial statements? Provide the journal entries in proper form.(4 marks)

4Provide the corresponding T-accounts for Question 11. These should be complete with opening and closing balances, and any amounts that would have been posted based on the information in the annual report. When considering the closing balances, assume that the books have been closed after each fiscal year. (5 marks)

5Comment on the journal entries in Question 11 relative to the information presented in class. Did these happen as you expected them to? Why or why not? Was there anything unexpected or different than what was presented in class. If so, what? (Note: The use of different account titles than the textbook is not considered to be different or unexpected)(4 marks)

6What is the carrying amount of leased assets for the most recent fiscal year, if any?(2 marks)