Accounting continuous annual report problem

Chapter 1 material:

a. What was Target’s net income for the year ended January 30, 2016?

b. Did Target’s net income increase or decrease from FYE 1/30/15 to FYE 1/30/16, and by how much?

c. What was Target’s accounting equation on 1/30/16?

d. Which of the following had the largest percentage change from FYE 1/30/15 to FYE 1/30/16: net sales; cost of sales; or selling, general, and administrative expenses? Show all computations.

Chapter 2 material:

a. Which accounts on Target’s balance sheet are accrual-type accounts?

b. Which accounts on Target’s balance sheet are deferral-type accounts?

c. Compare Target’s 2015 net earnings (the year ended January 30, 2016) to its 2015 cash provided by operating activities. Which is larger?

d. First, compare Target’s 2014 net income to its 2015 net income. Next, compare Target’s 2014 cash provided by operating activities to its 2015 cash provided by operating activities. Which changed the most from 2014 to 2015, net earnings or cash provided by operating activities?

e. Why did Target’s net earnings change so much from 2014 to 2015?

Section 2:

Chapter 3 material:

a. What percentage of Target’s total revenues end up as net earnings?

b. What percentage of Target’s sales go to pay for the costs of the goods being sold?

c. What costs does Target include in its Cost of Sales account?

d. When does Target recognize revenue from the sale of gift cards?

Chapter 5 material:

a. What percentage of Target’s total assets was comprised of inventory?

b. What cost flow method did Target use to account for its inventory?

c. Target had arrangements with some of its vendors such that it does not purchase or pay for merchandise inventory until the merchandise is sold to outside customers. Was the cost of these goods ever included in the Inventory account?