'Financial Position of Gap Inc.\r'

'The gross beachs build besides Increased for fiscal 2009 here It was 40. 32 per centum as comp bed to 2008 of 37. 5 percent and 2007 of 36. 1 1 percent. The operating margins similarly continue to grow for fiscal 2009 open had an operating margin on 12. 8 percent as compared to 10. 7 percent from 2008 and 8. 3 percent In 2007. ranch has withal been qualified to grow Its cash not only each course of instruction but excessively 29. 4 percent of Its amount assets as compared to 2008 where cash was only at 1. 7 billion and 22. 6 percent of total assets.Gap also has worked to reduce their debt down to ere by 2010 and they have done so, shortly they have no long-term debt and 2. 3 billion in cash. The 2009 current ratio for Gap is 2. 19 as compared to 1. 88 in 2008, and 1. 67 in 2007. Gap is increasing their liquid state from course of study to year charm net gross sales are still decreasing. Gaps deal pedigree has also seen a drop not only in value but also as a com ponent part of total assets 2007 Gap had merchandise stock-taking valued TTL . 57 billion and that delineated 20. Percent. memorandum was 1. 50 billion and represent 19. Percent of total assets in 2008. In 2009 the merchandise inventory was 1. 47 billion and represented 18. 5 percent of total assets. The operating expenses for Gap have maintained constant from 2005-2009 when flavor at them as a percentage of sales. The difference in percentage from year to year changed only by a few tenths of percentage. Income from operations that has increased since 2006 where it had fallen 29 percent from 2005.Operating expenses admit the adjacent: I payroll and associate benefits (for our store operations, field management, lot centers, and incorporated functions); I trade I general and administrative expenses; comprises to design and conk out our products; I merchandise use and receiving In dilutions centers and stores; I scattering center general and administrative expenses; I rent, occupancy, depreciation, and amortization for corporate facilities: and other expense (income). I gross margins previously stated. Gap had cost of goods sold at 59. 68 percent of sales in 2009 compared to 62. Percent in 2008 and 63. 89 percent in 2007. Gap has been working to propose their cost down and therefrom far have been successful. comprise of goods sold and occupancy expenses include the following: I the cost of merchandise; I I inventory shortage and military rating adjustments; I I freight charges; I I costs associated with our sourcing operations, including payroll and related benefits;\r\n'