Many public companies disclose alternative, non-GAAP earnings measures. Unlike GAAP measures such as operating income, earnings before
Question:
Many public companies disclose alternative, non-GAAP earnings measures. Unlike GAAP measures such as operating income, earnings before taxes, or net income reported on the face of the income statement, a non-GAAP measure is one that is not determined in accordance with U.S. GAAP. Management may make some adjustments to those GAAP measures by adding/subtracting certain items at their own discretion. Name one non-GAAP measure used by Target for fiscal 2022 in total and one calculated on a per-share basis. For each of the two measures (total and per-share), what is the comparable GAAP measure reported on the income statement for fiscal 2022? What adjustments did Target make to the comparable GAAP measure to arrive at each of the two non-GAAP measures?
Intermediate Accounting
ISBN: 978-0132162302
1st edition
Authors: Elizabeth A. Gordon, Jana S. Raedy, Alexander J. Sannella