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What is the year-over-year revenue change percent? Use the attached financial data to calculate the ratios for 2021. Round to the nearest decimal.

Financial Data for American Eagle Outfitters (AEO)

\begin{tabular}{lll}
& 2021 & 2020 \\
Revenues & \[tex]$5,011 & \$[/tex]3,759 \\
Cost of Sales & \[tex]$3,019 & \$[/tex]2,611 \\
Total Operating Expenses & \[tex]$1,222 & \$[/tex]977.3 \\
Interest Expense & \[tex]$34.6 & \$[/tex]24.6 \\
Income Tax Expense & \[tex]$139.3 & \$[/tex]83.0 \\
Cash + Equivalents & \[tex]$434.8 & \$[/tex]850.5 \\
A/R & \[tex]$286.7 & \$[/tex]146.1 \\
Inventories & \[tex]$553.5 & \$[/tex]405.4 \\
Prepaid Expenses & \[tex]$122 & \$[/tex]121 \\
Total Current Assets & \[tex]$1,397 & \$[/tex]1,523 \\
Total Assets & \[tex]$3,787 & \$[/tex]3,435 \\
A/P & \[tex]$231.8 & \$[/tex]255.9 \\
Total Current Liabilities & \[tex]$842.9 & \$[/tex]858.5 \\
Long-term Debt & \[tex]$341.0 & \$[/tex]325.3 \\
\end{tabular}

Select one:



Answer :

GinnyAnswer
To determine the year-over-year revenue change percent, let’s follow a step-by-step approach based on the provided financial data for American Eagle Outfitters (AEO).

1. Identify the Revenues for Each Year:
- Revenue for 2021: \[tex]$5.011 billion - Revenue for 2020: \$[/tex]3.759 billion

2. Calculate the Change in Revenue:
To find the change in revenue (year-over-year revenue change), subtract the revenue of the earlier year (2020) from the revenue of the later year (2021).

[tex]\[ \text{Revenue Change} = \text{Revenue}_{2021} - \text{Revenue}_{2020} \][/tex]

Substituting the known values:

[tex]\[ \text{Revenue Change} = 5.011 \text{ billion} - 3.759 \text{ billion} \][/tex]

This gives us:

[tex]\[ \text{Revenue Change} = 1.252 \text{ billion} \][/tex]

3. Calculate the Percent Change in Revenue:
To find the percent change in revenue, divide the revenue change by the revenue of the earlier year (2020) and multiply by 100 to get a percentage.

[tex]\[ \text{Year-over-Year Revenue Change Percent} = \left( \frac{\text{Revenue Change}}{\text{Revenue}_{2020}} \right) \times 100 \][/tex]

Substituting the values:

[tex]\[ \text{Year-over-Year Revenue Change Percent} = \left( \frac{1.252 \text{ billion}}{3.759 \text{ billion}} \right) \times 100 \][/tex]

Performing the division and multiplication:

[tex]\[ \text{Year-over-Year Revenue Change Percent} \approx 33.3\% \][/tex]

4. Round to the Nearest Decimal:
The percentage value is already given to one decimal place.

So, the year-over-year revenue change percent is 33.3%.