Question
Research Case 146 (Static) Researching the way long-term debt is reported; Macys, Incorporated [LO141, LO142, LO143, LO144 ] As a recently hired loan officer for
Research Case 146 (Static) Researching the way long-term debt is reported; Macys, Incorporated [LO141, LO142, LO143, LO144 ]
As a recently hired loan officer for USA Bank, your job description includes evaluating and recommending approval of commercial, real estate, or credit loans. USA has a policy of having its new hires go through a training exercise that includes evaluating a hypothetical loan application from a major corporation. The first step in the exercise is to peruse the financial statements of the chosen company, looking for trends in debt financing and in risk and profitability ratios for recent years. For this task, you are assigned to evaluate Macys Incorporated. Required: From Investor Relations at the Macys, Incorporated, (www.macys.com) website, access the companys 10-K filing for the year ended February 1, 2020. Search or scroll to find the financial statements and related notes.
1. What is the total debt (including current liabilities and deferred taxes) reported in the balance sheet in the most recent two years?
Total liabilities
2020 2019
2. Compare the total liabilities (including current liabilities and deferred taxes) with the shareholders equity and calculate the debt to equity ratio for the most recent two years. Note: Round your answers to 2 decimal places.
Debt to equity ratio
2020 2019
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started