Ralph Lauren Corporation is a global leader in the design, marketing, and distribution of premium lifestyle products, including men’s, women’s and children’s apparel. Below are selected financial statements taken from a recent 10-K filing. 

Required: 

Use the information in the financial statements to answer the following questions. 

1. Does the company use the single-step or multiple-step format to present its income statements? 

2. Does the company report restructuring costs (yes/no)? What are restructuring costs? 

3. Does the company report asset impairments (yes/no)? What are asset impairments? 

4. Does the company chose to report comprehensive income in two consecutive statements or a combined statement? 

5. What “other comprehensive items (OCI)” did the company report? 

6. What method does the company use to report net cash provided by operating activities? What other method(s) could the company have used? 

7. What is the largest cash outflow from investing activities? 

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RALPH LAUREN CORPORATION CONSOLIDATED STATEMENTS OF INCOME Fiscal Year Ended ($ in millions, except per share data) April 1, 2017 $6,652.8 (3,001.7) Net sales Cost of goods sold Gross profit Other costs and expenses: Selling, general, and administrative expenses Amortization of intangible assets Impairments of assets Restructuring and other costs 3,651.1 (3,149.4) (24.1) (253.8) (318.6) Total other costs and expenses, net (3,745.9) Operating income Foreign currency losses Interest expense (94.8) (1.1) (12.4) Interest and other income, net 8.7 Equity in losses of equity-method investees (5.3) Income before provision for income taxes Provision for income taxes (104.9) (5.6) Net income $ (99.3) Net income per common share: Basic $ (1.20) Diluted $ (1.20) (continued)