Question 7 At the most recent balance sheet date, Nike's current liabilities were a larger percentage of total liabilities than its non-current liabilities O a. True O b. False Moving to another question will save this response. NIKE, INC. CONSOLIDATED BALANCE SHEETS (in millions) ASSETS Current assets Cash and equivalents Short-term investments Accounts receivable, net Inventories Prepaid expenses and other current assets Total current assets Property, plant and equipment, net Operating lease right-of-use assets, net Identifiable intangible assets, ret Goodwill Deferred income taxes and other assets TOTAL ASSETS LIABILITIES AND SHAREHOLDERS' EQUITY Curentable Current portion of long-term debt Notes payable Accounts payable Current portion of operating lease labilities Accrued abilities Income taxes payable Total current Sabites Long-term debt Operating lease Rabilities Deferred income taxes and other lables Commitments and contingencies (Note 18) Redeemable preferred stock Shareholders equity Common stock at stated value Class A convertible-305 and 315 shares outstanding Class 1,273 and 1,243 shares outstanding Capital in excess of stated value Accumulated other comprehensive income (loss) Retained earnings (defict) Total shareholders' equity TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY The accompanying Notes to the Consolidated Financial Statements are an integral part of this statement S 1 2021 MAY 31, 9,889 S 3,587 4,463 6.854 1,498 26,291 4,904 3,113 200 242 2.925 37,740 2.836 467 6,000 306 9,674 9413 2.931 2,955 3 9,965 (340) 3,170 12,707 37,740 1 2020 8,348 439 2,749 7,367 1,653 20,556 4,660 3.007 274 223 2.326 31,342 3 248 2,246 445 5,164 100 8.284 9,406 2,913 2,684 3 8.200 (56) (191) ROSS 31,342 NIKE, INC. CONSOLIDATED STATEMENTS OF INCOME (in millions, except per share data) 2021 Revenues Cost of sales Gross profit Demand creation expense Operating overhead expense Total selling and administrative expense Interest expense (income), net Other (income) expense, net Income before income taxes Income tax expense NET INCOME Eamings per common share Basic Diluted Weighted average common shares outstanding Basic Diluted The accompanying Notes to the Consolidated Financial Statements are an integral part of this statement $ YEAR ENDED MAY 31, 2020 37,403 $ 21,162 16,241 3,592 9,534 13,120 89 139 2.887 348 2,539 S 1.63 $ 1.00 $ 44,538 $ 24,576 19,962 3.114 9.911 13,025 202 14 6,661 934 5,727 S 3.64 $ 3.60 $ 1.5730 1,600 4 2019 39,117 21,643 17.474 3,753 8,949 12,702 49 (78) 4801 772 4,029 2.55 2.49 1,579.7 1.6184 2021 FORM 10-K 57 1,5668 1.6016 NIKE, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (Dollars in millions) 2021 Cash provided (used) by operations: Net income Adjustments to reconcile net income to net cash provided (used) by operations: Depreciation Deferred income taxes Stock-based compensation Amortization, impairment and other Net foreign currency adjustments Changes in certain working capital components and other assets and liabilites (increase) decrease in accounts receivable (Increase) decrease in inventories (Increase) decrease in prepaid expenses, operating lease right-of-use assets and other current and non-current assets Increase (decrease) in accounts payable, accrued liabilities, operating lease liabilities and other current and non-current Cash provided (used) by operations Cash provided (used) by investing activities: Purchases of short-term investments Maturities of short-term investments Sales of short-term investments Additions to property, plant and equipment Other investing activities Cash provided (used) by investing activites Cash provided (used) by financing activities: Proceeds from borrowings, net of debt issuance costs Increase (decrease) in notes payable, net Repayment of borrowings Proceeds from exercise of stock options and other stock issuances Repurchase of common stock Dividends-common and preferred Other financing activities Cash provided (used) by financing activities Effect of exchange rate changes on cash and equivalents Net increase (decrease) in cash and equivalents Cash and equivalents, beginning of year CASH AND EQUIVALENTS, END OF YEAR Supplemental disclosure of cash flow information: Cash paid during the year for interest, net of capitalized interest Income taxes Non-cash additions to property, plant and equipment Dividends declared and not paid The ananuin Nines in the Consolidated Financial Statements are an integral part of this statement. $ $ S YEAR ENDED MAY 31, 2020 2,539 $ 721 (380) 429 398 23 1,239 (1,854) (654) 24 2.485 (2,420) 74 2.379 (1,086) 31 (1,028) 6,134 49 5.727 S 744 (385) 611 53 (138) (1,606) 507 (182) 1,326 6,657 (0.961) 4,230 2,449 (605) 171 (3.000) (52) (197) 1,172 (006) (1.638) (136) (1459) 143 1,541 8.348 9.889 $ 293 5 1,177 179 438 (6) 885 (3,007) (1,452) (52) 2,491 (66) 3,882 4,466 8,348 S 140 $ 1,028 121 365 2019 4,029 705 34 325 15 233 (270) (490) (203) 1,525 5.903 (2.937) 1,715 2,072 (1,119) (264) (325) (6) 700 (4,286) (1332) (44) (5 293) (129) 217 4249 4,466 453 757 160 347 NIKE, CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY COMMON STOCK CAPITAL IN ACCUMULATED CLASS A CLASS B EXCESS OF STATED VALUE OTHER RETAINED COMPREHENSIVE EARNINGS INCOME (LOSS) (in millions, except per share data) Balance at May 31, 2018 SHARES AMOUNT 329 S SHARES AMOUNT 1,272 S 35 (DEFICIT) TOTAL 3,617 S 9,812 (92) Stock options exercised 18 539 Conversion to Class B Common Stock (14) 14 (54) (4,056) (4,283) Repurchase of Class B Common Stock Dividends on common stock (50 86 per share) and preferred stock (50.10 per share) (1,360) (1,300) Issuance of shares to employees, net of shares withheld for employee taxes (3) 139 Stock-based compensation 325 Net income Other comprehensive income (loss) Adoption of ASU 2016-16 (Note 1) Adoption of ASC Topic 606 (Note 1) Balance at May 31, 2019 1,263 $ Stock options exercised 20 (34) Repurchase of Class B Common Stock Dividends on common stock ($0.955 per share) and preferred stock (50.10 per share) Issuance of shares to employees, net of shares withheld for employee taxes Stock-based compensation Net Income Other comprehensive income (oss) 1 Adoption of ASC Topic 842 (Note 1) Balance at May 31, 2020 Stock options exercised (10) Conversion to Class Common Stock Repurchase of Class B Common Stock Dividends on common stock ($1.070 per share) and preferred stock (30.10 per share Issuance of shares to employees, net of shares wheld for employee taxes Stock-based compensation Net income Other comprehensive income ( Balance at May 31, 2021 305 S 1,273 35 The accompanying Notes to the Consolideled Financial Statements are an integral part of this statem 315 S 316 1,243 21 10 (5) 35 35 6,384 S 539 (227) 142 325 7,163 703 (161) 165 429 8,299 $ 954 (28) 129 611 9,966 323 231 S (287) (56) 5 (324) (340) 4.029 (507) 23 1,643 (2872) (1,491) (9) 2,539 (1) 4,029 323 (507) 23 9,040 703 (3,033) (1.491) 156 429 2,539 (207) (1) (191) 8,055 954 (650) (022) (1,692) (1,802) (43) 06 611 5,727 5,727 (324) 3,179 $ 12,767