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1) Fill in the blanks to complete Whole Food’s Income Statement ($ millions). WH

ID: 2608557 • Letter: 1

Question

1)    Fill in the blanks to complete Whole Food’s Income Statement ($ millions).

WHOLE FOODS

Income Statement

For Year Ended September 25, 2016

Sales

$15,724

Cost of goods sold and occupancy costs

           ?

Gross profit

$ 5,411

Operating expenses

           ?

Operating income

$     857

2) )   Fill in the blanks to complete Whole Food’s Balance Sheet ($ millions).

Whole Foods

Balance Sheet

September 25, 2016

Cash

$   351

Current liabilities

$   1,341

Non-cash assets

?

Long-term liabilities

?

_ ____

Stockholders’ equity

    3,224

Total assets

$6,341

Total liabilities and equity

$          ?

3) Whole Foods reports the following balances in its stockholders’ equity accounts. Fill in the blanks.

($ millions)

2016

2015

2014

Retained earnings beginning of year

?

?

$1,265

Net income

?

536

579

Dividends

(174)

(186)

?

Other

(1)

(1)

0

Retained earnings end of year

$2,349

$2,017

?

WHOLE FOODS

Income Statement

For Year Ended September 25, 2016

Sales

$15,724

Cost of goods sold and occupancy costs

           ?

Gross profit

$ 5,411

Operating expenses

           ?

Operating income

$     857

Explanation / Answer

Answer

1.

Sales

       15,724

Cost of Goods sold and occupancy cost

       10,313

Gross Profit

         5,411

Operating expenses

         4,554

Operating Income

             857

Cost of Goods Sold = Sales – Gross Profit

= 15,724 - 5,411

= 10,313

Operating Expenses = Gross Profit – Operating Income

= 5,411 – 857

= 4,554

2.

$

$

Cash

            351

Current Liabilities

        1,341

Non Cash Assets

         5,990

Long term Liabilities

        1,776

Stockholder's Equity

        3,224

Total Assets

         6,341

Total Liabilities and Equity

        6,341

Non Cash Assets = Total Assets – Cash

= 6,341 – 351

= 5,990

Total Liability and Equity = Total Assets = $6,341

Long term Liability = Total Liability and Equity - Current Liabilities - Stockholder's Equity

= 6,341 - 1,341 - 3,224

= 1,776

3.

2016

2015

2014

Beginning Retained Earnings

         2,017

         1,668

         1,265

Net Income

             507

            536

            579

Dividend

           (174)

          (186)

          (176)

Other

               (1)

               (1)

0

Closing Retained Earnings

         2,349

         2,017

         1,668

Closing Retained Earnings = Beginning Retained Earnings + Net Income – Dividend – Other

Beginning Retained Earnings of 2015 = Closing Retained Earnings (2015) + Dividend + Other – Net Income

= 2017 + 186 + 1 – 536

Beginning Retained Earnings of 2015 = $1,668

Closing Retained Earnings of 2014 = Beginning Retained Earnings of 2015 = $1,668

Dividend of 2014 = Beginning Retained Earnings of 2014 + Net Income – Closing Retained Earnings of 2014

= 1265 + 579 – 1668

Dividend of 2014 = $176

Closing Retained Earnings of 2015 = Beginning Retained Earnings of 2016 = $2,017

Net Income of 2016 = Closing Retained Earnings - Beginning Retained Earnings + Dividend + Other

= 2349 – 2017 + 174 + 1

Net Income of 2016 = $507

Sales

       15,724

Cost of Goods sold and occupancy cost

       10,313

Gross Profit

         5,411

Operating expenses

         4,554

Operating Income

             857