Prepare the financial ratios for J.C. Penney Company, Inc. (JCP) for the years indicated. Calculate the required financial ratios and reference them in your analysis. Including the following:

Prepare the financial ratios for the calendar years of 2011, 2012, and 2013. Use the JCP financial documents (balance sheets and income statements) linked in the Resources.

Comment on the differences between J.C. Penney's ratios and the industry averages.

Determine the trends evident in the financial statements.

Calendar Year	2011		2012		2013
Liabilities
Short-term debt		$ 231		$ 673
Capital leases		$ 26		$ 27
Accounts payable	$ 1,022		$ 1,162		$ 948
Taxes payable		$ 111		$ 91
Accrued liabilities		$ 1,038		$ 1,107
Other current liabilities		$ 354		$ 1,395
Total current liabilities	$ 2,756		$ 2,583		$ 2,846
Non-current liabilities
Long-term debt	$ 2,871		$ 2,956		$ 4,839
Capital leases			$ 62
Deferred taxes liabilities	$ 888		$ 388		$ 335
Pensions and other benefits			$ 187
Other long-term liabilities	$ 899		$ 683		$ 445
Total non-current liabilities	$ 4,658		$ 4,027		$ 5,868
Total liabilities	$ 7,414		$ 6,610		$ 8,714
Stockholders' equity
Common stock	$ 108		$ 110		$ 152
Additional paid-in capital	$ 3,699		$ 3,799		$ 4,571
Retained earnings	$ 1,412		$ 380		$ (1,008)
Accumulated other comprehensive income	$ (1,209)		$ (1,118)		$ (628)
Total stockholders' equity	$ 4,010		$ 3,171		$ 3,087
Total liabilities and stockholders' equity	$ 11,424		$ 9,781		$

JC PENNEY CO INC (JCP)
BALANCE SHEETS
All amounts in USD millions.	no data		no data		no data
Calendar Year	2011		2012		2013
Assets	no data		no data		no data
Cash and cash equivalents	$ 175		$ 121		$ 113
Short-term investments	$ 1,332		$ 809		$ 1,402
Total cash	$ 1,507		$ 930		$ 1,515
Receivables	$ 413		$ 57		$ 4
Inventories	$ 2,916		$ 2,341		$ 2,935
Deferred income taxes		$ 106		$ 193
Prepaid expenses	$ 245		$ 249		$ 186
Total current assets	$ 5,081		$ 3,683		$ 4,833
Non-current assets		no data		no data
Property, plant and equipment	no data		no data		no data
Land	$ 312		$ 310		$ 309
Fixtures and equipment	$ 2,173		$ 2,132		$ 2,356
Other properties	$ 5,656		$ 5,791		$ 6,269
Property and equipment, at cost	$ 8,141		$ 8,233		$ 8,934
Accumulated depreciation	$ (2,965)		$ (2,880)		$ (3,315)
Property, plant and equipment, net	$ 5,176		$ 5,353		$ 5,619
Intangible assets	n no		no data		$ 535
Prepaid pension costs	no data		no data		$ 663
Other long-term assets	$ 1,167		$ 745		$ 151
Total non-current assets	$ 6,343		$ 6,098		$ 6,968
Total assets	$ 11,424		$ 9,781		$ 11,801