Current Assets Cash and cash equivalents Accounts receivable, net Merchandise inventories Other current assets Total Current...

Transcribed Image Text:

Current Assets Cash and cash equivalents Accounts receivable, net Merchandise inventories Other current assets Total Current Assets Balance Sheet December 31, 2022 and 2021 $ in millions 2022 2021 $ 17,961 3,315 $ 9,839 2,010 3,576 4,029 333 326 25,185 16,204 Long-Term Assets Property and equipment 12,405 11,995 Accumulated depreciaion (3,792) (3,220) Intangible assets, net of accumulated amortization 148 193 Total Long-Term Assets 8,761 8,968 Total Assets $ 33,946 $ 25,172 Current Liabilities Accounts payable Accrued liabilities Income taxes payable Current portion of long-term debt Total Current Liabilities Non-current Liabilities Long-term debt Total Liabilities Shareholders' Equity $ 1,308 $ 988 1,276 1,200 2,619 2,455 125 99 5,040 5,030 4,725 4,525 9,765 9,555 Common stock; .01 par value; 9,000 shares authorized; 380 and 370 shares issued & outstanding respectively Paid-in capital Treasury stock, at cost Retained earnings 4 4 3,518 3,018 (2,824) (2,649) 23,483 15,244 Total Shareholders' Equity 24,181 15,617 Total Liabilities and Shareholders' Equity $ 33,946 $ 25,172 Additional Information: The company paid cash dividends of $200 in 2021. The company purchased treasury stock of $175 during 2021, and sold common stock for $500 during 2021. No other stock transactions took place. The company purchased $2,110 in equipment for cash during the year. In addition, equipment was sold for $1100 in cash; the equipment had a book value at the time of sale of $500. There were no purchases or sales of intangible assets. The company made payments of $100 on its debt obligations, and took an additional $300 in debt during the year. H & K INC. Income Statement For the Years Ended December 31, 2022 and 2021 $ in millions 2022 2021 Revenue Net sales $ 47,364 $ 44,452 Cost of merchandise sold 27,016 24,969 Gross Profit 20,348 19,483 Operating Expenses Selling, general and administrative 7,603 7,182 Depreciation 1,772 1,010 Amortization 45 45 Operating income 10,928 11,246 Interest expense, net 276 235 Gain on sale of property and equipment 600 350 Income before income taxes 11,252 11,361 Provision for income taxes 2,813 2,840 Net income $ 8,439 $ 8,521 Current Assets Cash and cash equivalents Accounts receivable, net Merchandise inventories Other current assets Total Current Assets Balance Sheet December 31, 2022 and 2021 $ in millions 2022 2021 $ 17,961 3,315 $ 9,839 2,010 3,576 4,029 333 326 25,185 16,204 Long-Term Assets Property and equipment 12,405 11,995 Accumulated depreciaion (3,792) (3,220) Intangible assets, net of accumulated amortization 148 193 Total Long-Term Assets 8,761 8,968 Total Assets $ 33,946 $ 25,172 Current Liabilities Accounts payable Accrued liabilities Income taxes payable Current portion of long-term debt Total Current Liabilities Non-current Liabilities Long-term debt Total Liabilities Shareholders' Equity $ 1,308 $ 988 1,276 1,200 2,619 2,455 125 99 5,040 5,030 4,725 4,525 9,765 9,555 Common stock; .01 par value; 9,000 shares authorized; 380 and 370 shares issued & outstanding respectively Paid-in capital Treasury stock, at cost Retained earnings 4 4 3,518 3,018 (2,824) (2,649) 23,483 15,244 Total Shareholders' Equity 24,181 15,617 Total Liabilities and Shareholders' Equity $ 33,946 $ 25,172 Additional Information: The company paid cash dividends of $200 in 2021. The company purchased treasury stock of $175 during 2021, and sold common stock for $500 during 2021. No other stock transactions took place. The company purchased $2,110 in equipment for cash during the year. In addition, equipment was sold for $1100 in cash; the equipment had a book value at the time of sale of $500. There were no purchases or sales of intangible assets. The company made payments of $100 on its debt obligations, and took an additional $300 in debt during the year. H & K INC. Income Statement For the Years Ended December 31, 2022 and 2021 $ in millions 2022 2021 Revenue Net sales $ 47,364 $ 44,452 Cost of merchandise sold 27,016 24,969 Gross Profit 20,348 19,483 Operating Expenses Selling, general and administrative 7,603 7,182 Depreciation 1,772 1,010 Amortization 45 45 Operating income 10,928 11,246 Interest expense, net 276 235 Gain on sale of property and equipment 600 350 Income before income taxes 11,252 11,361 Provision for income taxes 2,813 2,840 Net income $ 8,439 $ 8,521