Use the Foot Locker, Inc., consolidated financial statements in Appendix B at the end of this book to address the following questions.
1. Perform a trend analysis of Foot Lockers net sales, gross profit, operating income, and net income. Use 2005 as the base year, and compute trend figures for 2006 and 2007.
2. Find Foot Locker, Inc.’s annual report for 2008 at www.sec.gov. Also perform research at a popular investment Web site such as www.msnmoney.com or www.yahoofinance.com to update the information from part 1. (Challenge)
3. What in your opinion is the company’s outlook for the future? Would you buy the company’s stock as an investment? Why or why not? (Challenge)