Formulating Financial Statements from Raw Data (lo2, 3) Following is selected financial information from Abercrombie & Fitch for its fiscal year ended February 2, 2013 ($ millions). Noncash assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,343 Total expenses (other than cost of goods sold) . . . . . . . . . . . . . . 2,580 Cash from investing activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . (247) Cash, ending year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 644 Revenue . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,511 Total liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,169 Cash from operating activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . 684 Cash from financing activities* . . . . . . . . . . . . . . . . . . . . . . . . . . . (377) Cost of goods sold . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,694 Cash, beginning year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 584 Stockholders equity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,818 * Cash from financing activities includes the effects of foreign exchange rate fluctuations. Required

a. Prepare the income statement, the balance sheet, and the statement of cash flows for Abercrombie & Fitch for the fiscal year ended February 2, 2013. b. Do the negative amounts for cash from investing activities and cash from financing activities concern us? Explain. c. Using the statements prepared for part a, compute the following ratios (for this part only, use the year-end balance instead of the average for assets and stockholders equity): i. Profit margin ii. Asset turnover iii. R eturn on assets iv. R eturn on equity