Income Statement, Retained Earnings Statement, and Balance Sheet The following f
ID: 2606692 • Letter: I
Question
Income Statement, Retained Earnings Statement, and Balance Sheet
The following financial data were adapted from a recent annual report of Target Corporation for the year ending January 31.
Instructions:
1. Prepare Target's income statement for the year ending January 31.
2. Prepare Target's statement of stockholders’ equity for the year ending January 31, 20Y2. Use the minus sign to indicate a net loss. If an amount box is zero, enter "0". Use the following additional information for the year:
3. Prepare a balance sheet as of January 31, for Target.
1 more Check My Work uses remaining.
In millions Accounts payable $ 7,759 Cash 2,210 Common stock 53 Cost of goods sold 51,278 Debt and other borrowings 12,705 Income tax expense 1,204 Interest expense 882 Inventories 8,790 Other assets 4,446 Other expenses 6,214 Other liabilities 6,943 Property, plant, and equipment 25,958 Sales 72,618 Selling, general, and administrative expenses 14,676Explanation / Answer
Part 1
TARGETCORPORATION
Income Statement
For the Year Ended January 31, 20Y2
(in millions)
Sales $72618
Expenses:
Cost of goods sold $51278
Selling, general, and administrative expenses 14676
Income tax expense 1204
Interest expense 882
Other expenses 6214
Total expenses 74254
Net loss $(1626)
Part 2
TARGETCORPORATION
Retained Earnings Statement
For the Year Ended January 31, 20Y2
(in millions)
Retained earnings, February 1, 20Y1 $ 12599
Less net loss $1636
Less dividends and other reductions 1319
Retained earnings, January 31, 20Y2 $ 9644
3. TARGET CORPORATION
Balance Sheet
January 31, 20Y2
(in millions)
Assets
Cash $ 2210
Inventories 8790
Property, plant, and equipment 25958
Other assets 4446
Total assets $41404
Liabilities
Accounts payable $ 7759
Debt and other borrowings 12705
Other liabilities 6943
Total liabilities $27407
Stockholders Equity
Capital stock $ 4353 (3579+721+53)
Retained earnings 9644
Total stockholders equity 13997
Total liabilities and stockholders equity $41404