Section 4. Current Assets

1. What is the amount of Current Assets at 2/2/19? _______________

2. What is the amount of Inventories at 2/2/19? _______________

1. What valuation principle does Gap use to value these inventories?

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b. Which cost flow assumption does Gap use to determine the cost of inventories?

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THE GAP, INC. CONSOLIDATED BALANCE SHEETS February 2, 2019 February 3, 2018 ($ and shares in millions except par value) ASSETS Current assets 1,081 $ 1,783 Cash and cash equivalents Short-term investments Merchandise inventory Other current assets 288 2,131 751 4,251 1,997 788 4,568 Total current assetS Property and equipment, net of accumulated depreciation of $5,755 and $5,962 2,912 886 2,805 616 7,989 Other long-term assets 8,049 $ lotal assets LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities 1,126 $ 1,024 1,181 1,270 10 2,461 Accounts payable Accrued expenses and other current liabilities Income taxes payable 24 Total current liabilities 2,174 Long-term liabilitie:s 1,249 1,073 2,322 1,249 1,135 2,384 Long-term debt Lease incentives and other long-term liabilities Total long-term liabilities Commitments and contingencies (see Notes 11 and 15) Stockholders' equity: Common stock $0.05 par value Authorized 2,300 shares for all periods presented; Issued and Outstanding 378 and 389 shares Additional paid-in capital Retained earnings Accumulated other comprehensive income 8 3,081 36 3,144 7,989 3,481 53 3,553 8,049 $ Total stockholders' equity Total liabilities and stockholders' equity