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Only need Help with #2H. Debt to equity ratio. Financial information for American Eagle is presented in Appendix A, and financial information for Buckle is

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Only need Help with #2H. Debt to equity ratio.

Financial information for American Eagle is presented in Appendix A, and financial information for Buckle is presented in Appendix B. Required: 1-a. Calculate the following return to shareholders and profitability ratios for both companies for the most recent year. 1-b. Based on these calculations, which company appears to deliver a higher return? Which company appears to be more profitable? 2-a. Calculate the following asset management and credit risk ratios for both companies for the most recent year. 2-b. Based on these calculations, which company appears to be more efficient? Which appears to have greater credit risk? Complete this question by entering your answers in the tabs below. Calculate the following asset management and credit risk ratios for both companies for the most recent year. Note: Use 365 days a year. Round your intermediate calculations and final answers to 1 decimal place. AMERICAN EAGLE OUTFITTERS, INC. Consolidated Balance Sheets Refer to Notes to Consolidated Financial Statements AMERICAN EAGLE OUTFITTERS, INC. Consolidated Statements of Operations A-6 APPENDIX A American Eagle Outfitters, Inc., 2020 Annual Report AMERICAN EAGLE OUTFITTERS, INC. Consolidated Statements of Comprehensive Income \begin{tabular}{|c|c|c|c|c|c|c|} \hline \multirow{3}{*}{\begin{tabular}{l} (no thousands) \\ Net income \end{tabular}} & \multicolumn{6}{|c|}{ For the Years Ended } \\ \hline & \multicolumn{2}{|c|}{\begin{tabular}{c} February 1, \\ 2020 \end{tabular}} & \multicolumn{2}{|c|}{\begin{tabular}{c} February 2 \\ 2019 \end{tabular}} & \multicolumn{2}{|c|}{\begin{tabular}{c} February 3, \\ 2018 \end{tabular}} \\ \hline & 5 & 191,257 & 5 & 261,902 & s & 204,163 \\ \hline \multicolumn{7}{|l|}{ Other comprehensive gain (loss): } \\ \hline Foreign currency translation gain (joss) & & 1,664 & & (4,037) & & 5,667 \\ \hline Other comprehensive gain (loss) & & 1,664 & & (4,037) & & 5,667 \\ \hline Comprehensive income & 5 & 192,921 & 5 & 257,865 & & 209,830 \\ \hline \end{tabular} Refer to Notes to Consolidated Financial Statements THE BUCKLE, INC: CONSOLIDATED BALANCE SHEETS (Amounts in Thousands Except Share and Per Share Amounts) ASSETS \begin{tabular}{ccc} \hline February 1, & February 2, \\ 2020 & 2019 \\ \hline \end{tabular} CURRENT ASSETS: \begin{tabular}{|c|c|c|c|c|} \hline Cash and eash equivalents & $ & 220,969 & $ & 168,471 \\ \hline Short-term investments (Notes B and C) & & 12,532 & & 51,546 \\ \hline Receivables & & 3,136 & & 7,089 \\ \hline Inventory & & 121,258 & & 125,190 \\ \hline Prepaid expenses and other assets & & 20,935 & & 18,136 \\ \hline Total current assets & & 378,830 & & 370,432 \\ \hline PROPERTY AND EQUIPMENT (Note E) & & 452,205 & & 452,187 \\ \hline \multirow[t]{2}{*}{ Less accumulated depreciation and amortization } & & (338,357) & & (321,505) \\ \hline & & 113,848 & & 130,682 \\ \hline OPERATING LEASE RIGHT-OF-USE ASSETS (Note D) & & 350,088 & & - \\ \hline LONG-TERM INVESTMENTS (Notes B and C) & & 15,863 & & 18,745 \\ \hline OTHER ASSETS (Notes G and H) & & 9,261 & & 7,443 \\ \hline Total assets & $ & 867,890 & $ & 527,302 \\ \hline \end{tabular} L.IABIL.TTIES AND STOCKHOL.DERS' EQUTTY CURRENT LIABILITIES: \begin{tabular}{|c|c|c|c|} \hline Accounts payable & 26,491 & $ & 29,008 \\ \hline Accrued employee compensation & 22,929 & & 21,452 \\ \hline Accrued store operating expenses & 17,837 & & 17,982 \\ \hline Gift certificates redeemable & 15,319 & & 16,634 \\ \hline Cument portion of operating lease liabilities (Note D) & 87,314 & & - \\ \hline Income taxes payable (Note G ) & 2,751 & & 5,142 \\ \hline Total current liabilities & 172,641 & & 90,218 \\ \hline DEFERRED COMPENSATION (Note J ) & 15,863 & & 13,978 \\ \hline NON-CURRENT OPERATING LEASE L.AABILIIIES (Note D) & 290,238 & & - \\ \hline DEFERRED RENT LIABIITY & - & & 29,229 \\ \hline Total liabilities & 478,742 & & 133,425 \\ \hline \multicolumn{4}{|l|}{ COMMITMENTS (Notes F and I) } \\ \hline \multicolumn{4}{|l|}{ STOCKHOLDERS' EQUTY (Note K): } \\ \hline \begin{tabular}{l} Common stock, authorized 100,000,000 shares of $.01 par value; 49,205,681 and 49,017,395 shares issued and outstanding \\ at February 1, 2020 and February 2,2019, respectively \end{tabular} & 492 & & 490 \\ \hline Additional paid-in capital & 152,258 & & 148,564 \\ \hline Retained eamings & 236,398 & & 244,823 \\ \hline Total stockholders' equity & 389,148 & & 393,877 \\ \hline Total liabilities and stockholders' equity & 867,890 & $ & 527,302 \\ \hline \end{tabular}

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