4 5 6 7 8 9 1 2 3 1234 Block Department Stores' chief executive officer (CEO) has asked you to compare the company's profit performance and financial position with the average for the industry. The CEO has given you the company's income statement and balance sheet, as well as the industry average data for retailers. 5 10 Operating income 11 Less: Interest expense 12 Income before income taxes Sales revenues Less: Cost of goods sold Gross profit Less: Operating expenses 13 Less: Income tax expense 14 Net income 15 Block Department Stores, Inc. Income Statement Compared with Industry Average For the Year Ended December 31 6 7 Current assets 8 Fixed assets, net 9 Intangible assets, net 10 Other assets 11 Total assets 12 13 14 Current liabilities 15 Long-term liabilities 16 Total liabilities 17 Assets Liabilities 18 Stockholders' equity 19 Total common stockholders' equity 20 21 Total liabilities and equity 22 $ $ $ $ $ $ $ B Block Department Stores, Inc. Balance Sheet Compared with Industry Average As of December 31 (amounts in thousands) $ B Block (amounts in thousands) Block 782,000 526,286 255,714 164,220 91,494 1,173 90,321 5,083 85,238 312,340 117,760 5,980 23,920 460,000 213,440 104,880 318,320 141,680 460,000 Industry Average 100.0% 65.7% 34.3% 19.5% 14.8% 0.5% 14.3% 0.3% 14.0% Industry Average 70.9% 23.7% 0.7% 4.7% 100.0% 48.3% 16.7% 65.0% 35.0% 100.0%

Block Department Stores' chief executive officer (CEO) has asked you to compare the company's profit performance and financial position with the average for the indisty. The CEO has given you the company/s income statement and balance sheet, as wall it the industry average data for retailers. P14-41A Comprehensive analysis (Learning Objectives 2,3,84 ) Block Department Stoes' chiff extcucive office (CEO) has asked you to compare the companys proft performance and frumeinl position with the average for the indastry The CEO has gives you the company's income statement and bolance sheet, as woll in The CEO has 9 indastry merage data for retiles