Hello,
I need help answering these last two questions. I've provided the balance sheets below.
1) Compare Targets 2014 net income to its 2015 net income. Next, compare Targets 2014 cash provided by operating activities to its 2015 cash provided by operating activities. Which changed the most from 2014 to 2015, net earnings or cash provided by operating activities?
2)What percentage of Targets sales go to pay for the costs of the goods being sold?
$ 4,046 $ 8,601 322 1,161 14,130 2,210 8,282 1,058 2,074 13,624 6,125 27,059 5,347 2,617 315 (16,246) 25,217 75 840 40,262 $ 6,127 26,613 5,329 2,552 424 (15,093) 25,952 717 879 41,172 $ Assets Cash and cash equivalents, including short-term investments of $3,008 and $1,520 Inventory Assets of discontinued operations Other current assets Total current assets Property and equipment Land Buildings and improvements Fixtures and equipment Computer hardware and software Construction-in-progress Accumulated depreciation Property and equipment, net Noncurrent assets of discontinued operations Other noncurrent assets Total assets Liabilities and shareholders' investment Accounts payable Accrued and other current liabilities Current portion of long-term debt and other borrowings Liabilities of discontinued operations Total current liabilities Long-term debt and other borrowings Deferred income taxes Noncurrent liabilities of discontinued operations Other noncurrent liabilities Total noncurrent liabilities Shareholders' investment Common stock Additional paid-in capital Retained earnings Accumulated other comprehensive loss Pension and other benefit liabilities Currency translation adjustment and cash flow hedges Total shareholders' investment Total liabilities and shareholders' investment $ 7,418 $ 4,236 815 153 12,622 11,945 823 18 1.897 14,683 7,759 3,783 91 103 11,736 12,634 1,160 193 1,452 15,439 50 5,348 8,188 53 4,899 9,644 (588) (41) 12,957 40,262 $ (561) (38) 13,997 41,172 $ Consolidated Statements of Cash Flows 2015 2014 2013 $ 3,363 $ 42 3,321 (1.636) $ (4,085) 2,449 1,971 (723) 2,694 2,213 115 (322) (620) 2,129 71 7 1,996 106 58 (391) 445 87 285 40 (12) (millions) Operating activities Net earnings /(loss) Earnings / (losses) from discontinued operations, net of tax Net earnings from continuing operations Adjustments to reconcile net earnings to cash provided by operations: Depreciation and amortization Share-based compensation expense Deferred income taxes Gain on sale Loss on debt extinguishment Noncash (gains)/losses and other, net Changes in operating accounts: Accounts receivable originated at Target Proceeds on sale of accounts receivable originated at Target Inventory Other assets Accounts payable and accrued liabilities Cash provided by operating activities-continuing operations Cash provided by/(required for) operating activities-discontinued operations Cash provided by operations Investing activities Expenditures for property and equipment Proceeds from disposal of property and equipment Proceeds from sale of businesses Change in accounts receivable originated at third parties Proceeds from sale of accounts receivable originated at third parties Cash paid for acquisitions, net of cash assumed Other investments (316) 227 534 5,140 704 5,844 (512) (115) 777 5,131 (692) 4,439 157 2,703 (504) (79) 247 7,519 (999) 6,520 (1,438) 28 1,875 (1.786) 95 (1,886) 70 121 3,002 (157) 130 (20) 106 24 Other investments 24 106 130 Cash provided by /(required for) investing activities-continuing operations 489 (1,605) 1,280 Cash provided by / (required for) investing activities-discontinued operations 19 (321) (1,551) Cash provided by/(required for) investing activities 508 (1.926) (271) Financing activities Change in commercial paper, net (80) (890) Additions to long-term debt 1,993 Reductions of long-term debt (85) (2,079) (3,463) Dividends paid (1,362) (1,205) (1,006) Repurchase of stock (3,438) (1.461) Stock option exercises and related tax benefit 369 373 456 Cash required for financing activities (4,516) (998) (6,364) Effect of exchange rate changes on cash and cash equivalents 26 Net increase /(decrease) in cash and cash equivalents 1,836 1,515 (89) Cash and cash equivalents at beginning of period 2,210 695 784 Cash and cash equivalents at end of period) $ 4,046 $ 2,210 $ 695 Supplemental information Interest paid, net of capitalized interest $ 604 $ 871 $ 1,043 Income taxes (refunded)/paid (127) 1,251 1,386 Property and equipment acquired through capital lease obligations 126 88 132 Includes cash of our discontinued operations of $25 million and $59 million at February 1, 2014 and February 2, 2013, respectively. Includes cash of our discontinued operations of $25 million at February 1, 2014. (a) (b)
