Inferring Transactions from Financial Statements The GAP is a global clothing retailer for men, women, children, and babies. The following information is taken from The Gap's annual report for the fiscal year ended February 2, 2019. February February Selected Balance Sheet Data ($ millions) Inventories 2019 2018 Accounts Payable $2,131 1,126 $1,997 1,181 a. The Gap purchased inventories totaling $10,392 million for the fiscal year ended February 2, 2019. Use the financial statement effects template to record cost of goods sold for The Gap's fiscal year ended February 2, 2019. (Assume accounts payable is used only for recording purchases of inventories and all inventories are purchased on credit.) b. What amount did the company pay to suppliers during the year? Record this with the financial statement effects template. Use negative signs with answers, if appropriate. Balance Sheet Noncash Liabilities Contrib. Capital Earned Capital Revenues Transaction a. Recognize cost of goods sold. b. Cash paid to suppliers. Cash Asset + Assets Income Statement Expenses = Net income