Use the attached Balance Sheet to complete the questions. Please show all work.

1. Which cost flow assumption(s) does Rite Aid use to value its inventory?

2. Suppose Rite Aid had used FIFO as a cost flow assumption for all of their inventories. What would the book value of Inventories be on February 27, 2021?

3. What is the amount of inventory purchases in fiscal year 2021?

4. Estimate cash collected from customers in fiscal year 2021 (Assume that sales are net of bad debt expense).

5. Estimate cash paid to suppliers in fiscal year 2021.

6. Assume the Company measures bad debt expenses as 1% of beginning gross receivables. Calculate the amount of bad debts written off in fiscal year 2021.

7. What is the par value of each common share?

8. What is the number of outstanding shares at the end of fiscal year 2021? Does the company own any treasury stock at the end of fiscal year 2021? How can you tell?

9. Refer to the 7.5% notes due 2025. Calculate the interest expense on this note for fiscal year 2022.

10. Refer to the same note as in the previous question (i.e., the 7.5% notes due 2025). Calculate the total amount of cash payment at maturity (Use semi-annual calculations).