Refer to the ?nancial statements of Urban Out?tters given in Appendix at the end of this book
(or at https://www.sec.gov/Archives/edgar/data/912615/000119312512146029/d276682d10k.htm).
1. Does Urban Outfitters use the direct or indirect method to report cash ?ows from operating activities?
2. What amount of tax payments did the company make during the most recent reporting year?
(Hint: The statement of cash ?ows may be helpful to answer this question.)
3. Explain why the "share-based compensation" and "depreciation and amortization' items were added in the reconciliation of net income to net cash provided by operating activities.
4. Has the company paid cash dividends during the last three years? How do you know?
5. What was free cash ?ow for the year ended January 31, 2012? (Dollars in thousands).