Problem:

1. Selected recent balance sheet and income statement information for The Gap, Inc. follows:

(in millions)                                2011       
Year-end accounts payable        $1,066       
Average accounts payable           1,058       
Sales                                       14,549       
Cost of goods sold                      9,275

Accounts payable days outstanding for 2011 is

2. How are operating leases reported in the lessee's balance sheet?

A) As an asset that is depreciated, similar to the company's other assets.

B) As either a short-term or long-term liability, depending on the length of the lease

C) At the present value of the future minimum lease payments.

D) Operating leases are not disclosed in the lessee's balance sheet or annual report.

E) None of the above

Summary of problem:

These short answer questions is from Finance. The 1st question is about computing the number of days outstanding for accounts payable and the 2nd question is about how operating leases are reported in lessee's balance sheet.