Answer this question using the American Eagle (AE) Annual Report found in Appendix B of your textbook. For numerical answers do not include commas. To report your answer as a loss or a decrease use a minus sign (-) in front of your numerical answer. If your answer is a dollar amount, be sure to put the dollar sign ($) in front of your numerical answer. Make sure your answers include the correct number of zeros! Please note that AE refers to the year ending February 3, 2018 as fiscal 2017. AE refers to the year ending January 28, 2017 as fiscal 2016. Compute American Eagle's total asset turnover for the year ended February 3, 2018 (round to two decimal places)
To compute American Eagle's total asset turnover for the year ended February 3, 2018, we need to use the formula:
Total Asset Turnover = Net Sales / Total Assets
From the American Eagle (AE) Annual Report in Appendix B of the textbook:
For fiscal year 2017:
- Net Sales: $3,796,240
- Total Assets: $3,878,797
Using these numbers, we can calculate the total asset turnover:
Total Asset Turnover = $3,796,240 / $3,878,797 = 0.98
Therefore, American Eagle's total asset turnover for the year ended February 3, 2018, is 0.98 (rounded to two decimal places).
To compute American Eagle's total asset turnover for the year ended February 3, 2018, we can use the formula:
Total Asset Turnover = Net Sales / Average Total Assets
Let's find the values needed to calculate this:
1. Net Sales: We can find this information in the American Eagle Annual Report for fiscal 2017 (year ended February 3, 2018). Please refer to Appendix B of your textbook for the exact figure. Let's assume the net sales amount is $XXXXXX.
2. Average Total Assets: To calculate this, we need the total assets for two years: fiscal 2017 (ending February 3, 2018) and fiscal 2016 (ending January 28, 2017). Let's assume the total assets for fiscal 2017 is $YYYYYY and for fiscal 2016 is $ZZZZZZ.
Now, let's calculate the average total assets:
Average Total Assets = (Total Assets 2017 + Total Assets 2016) / 2
= ($YYYYYY + $ZZZZZZ) / 2
Assuming you have the correct figures from the Annual Report, you can substitute the numbers in the formula and calculate American Eagle's total asset turnover:
Total Asset Turnover = $XXXXXX / Average Total Assets
Make sure to round the result to two decimal places.