help with analysis response Amazon &nbs
help with analysis response
Amazon Best Buy Walmart
Sales 100.0% 100.0% 100.0%
Cost of sales 70.5% 77.6% 75.2%
Gross profit 29.5% 22.4% 24.8%
Selling, general, and administrative
expenses 29.3% 18.8% 19.2%
Operating expenses 0.0% .01% 0.0%
Income from operations 0.2% 3.6% 5.6%
- Which company reported the highest gross profit percentage? (5 points)
Amazon reported the highest gross profit percentage.
- Which company reported the highest income from operations percentage? (5 points)
Walmart had the highest income from operations percentage.
- Similar and expected analysis response: Amazon has a high gross profit on a percentage basis. Amazon has a low income from operations on a percentage basis. The analysis for selling, general, and administrative expenses is consistent with the company’s history which spends a large percentage of sales dollars for selling, general, and administrative activities.
- Analysis response: (10 points) Walmart
- Analysis response: (10 points) Best Buy
Homework Answers
The Analysis for Best BUY:
It has lowest percentage of selling , general & administrative expenses as compared to Amazon & Walmart , which results in 2nd highest percentage in income from operations.Though the cost of sales is high comparitively, but the company spends less on administrative and selling department.Though other operating expenses of Best Buy is 0.01% which is high & therefore could not lead the market & industry but it is better than Amazon for earning income from operations.The cost planning is done in a proper way which helps the company to achieve its profit target.
The Analysis for Walmart:
This company leads the market with the highest income from operations as it has 5.6 % which is much more than other two competitive company in the industry.It has spent gud amount in selling & administrative expense but it has controlled its expense in income from operations. & therefore leads the market . Amount spent in selling & administrative is very balancing and appropriate which leads the company to achieve the goals of target profit.
Further the cost of sales and all other expenditure is done in a proper and balancing way.
Section D: Financial Statement Analysis--Analytical Method The condensed income statements through income from operations for Amazon,...
Section D: Financial Statement Analysis--Analytical Method The condensed income statements through income from operations for Amazon, Best Buy, and Walmart for a recent fiscal year follow in millions): Amazon Sales Cost of Goods Sold Gross Profit Selling and General Expenses Operating Expenses Income from Operations $88,988 62,752 $26,236 26,058 Best Buy $40,339 31,292 $ 9,047 7,592 Walmart $485,651 365,086 $120,565 93,418 0 $_178 $_1.450 $ 27.147 1. Prepare comparative common-sized income statements for each company. (Round percentages to one decimal...
using the data help solve rest CONSOLIDATED STATEMENTS OF INCOME Walmart amazon Dollars in millions Year...
using the data help solve rest
CONSOLIDATED STATEMENTS OF INCOME Walmart amazon Dollars in millions Year ended January 31, 2019 Amount $514,405 385,301 129,104 Year ended December 31, 2018 Amount $232,887 139,156 93,731 107,147 81,310 21,957 12,421 Net revenue Cost of goods sold Gross Profit Operating expenses Selling, general & adm expenses Net operating income Other non-operating income (expenses) Interest income Interest expense Other income (loss) - net Income before income taxes Provision for taxes Net income 217 (2,346) (8,368)...
just need help figuering out the percentage and part b Vertical Analysis of Income Statement Revenue...
just need help figuering out the percentage and part b
Vertical Analysis of Income Statement Revenue and expense data for Innovation Quarter Inc. for two recent years are as follows: Current Year Previous Year Sales $405,000 $352,000 Cost of goods sold 275,400 221,760 Selling expenses 52,650 52,800 Administrative expenses 56,700 45,760 Income tax expense 8,100 14,080 a. Prepare an income statement in comparative form, stating each item for both years as a percent of sales. If required, round percentages to...
Vertical Analysis of Income Statement Revenue and expense data for Innovation Quarter Inc. for two recent...
Vertical Analysis of Income Statement Revenue and expense data for Innovation Quarter Inc. for two recent years are as follows: Current Year Previous Year Sales $605,000 $520,000 Cost of goods sold 363,000 286,000 Selling expenses 96,800 93,600 Administrative expenses 102,850 83,200 Income tax expense 18,150 20,800 a. Prepare an income statement in comparative form, stating each item for both years as a percent of sales. If required, round percentages to one decimal place. Enter all amounts as positive numbers. Innovation...
A comparative income statement is given below for McKenzie Sales, Ltd., of Toronto: McKenzie Sales, Ltd...
A comparative income statement is given below for McKenzie Sales, Ltd., of Toronto: McKenzie Sales, Ltd Comparative Income Statement This Year $7,320,000 4,650,000 Last Year $5,563 200 3,515,000 Sales Cost of goods sold Gross margin 2,670,000 2,048,200 Selling and administrative expenses Selling expenses Administrative expenses 1.396,000 707.500 1,074,500 614,500 Total expenses 2.103,500 1,689,000 Net operating income Interest expense 566.500 100,000 359,200 85,000 Net income before taxes 466,500 $274,200 Members of the company's board of directors are surprised to see that...
Vertical Analysis of Income Statement For 20Y2, Tri-Comic Company initiated a sales promotion campaign that included...
Vertical Analysis of Income Statement For 20Y2, Tri-Comic Company initiated a sales promotion campaign that included the expenditure of an additional $21,000 for advertising. At the end of the year, Lumi Neer, the president, is presented with the following condensed comparative income statement: Tri-Comic Company Comparative Income Statement For the Years Ended December 31, 20Y2 and 2041 20Y2 20Y1 $746,000 $642,000 Sales Cost of goods sold Gross profit 350,620 333,840 $395,380 $308,160 Selling expenses $156,660 $128,400 82,060 83,460 Administrative expenses...
Refer to the ratio analysis example (listed below) and update these ratios for Amazon, Sears, and...
Refer to the ratio analysis example (listed below) and update
these ratios for Amazon, Sears, and eBay based on their
2015, 2016, and 2017 annual reports. Review other
applicable areas of the annual report, such as the footnotes and
MD&A and tell us what the results mean in your own words. What
do you think could explain the changes?
Defining Ratio Analysis (Continued) You will use ratio analysis throughout the rest of the course. For now, consider the following basic...
Horizontal Analysis for Income Statement For 20Y3, Greyhound Technology Company reported its most significant decline in...
Horizontal Analysis for Income Statement For 20Y3, Greyhound Technology Company reported its most significant decline in net income in years. At the end of the year, Duane Vogel, the president, is presented with the following condensed comparative income statement: GREYHOUND TECHNOLOGY COMPANY Comparative Income Statement For the Years Ended December 31, 20Y3 and 20Y2 20Y3 20Y2 Sales $ 598,172 $ 522,000 Cost of goods sold (429,000) (330,000) Gross profit $ 169,172 $ 192,000 Selling expenses $ (60,500) $ (44,000) Administrative...
Horizontal Analysis of Income Statement For 20Y2, McDade Company reported a decline in net income. At...
Horizontal Analysis of Income Statement For 20Y2, McDade Company reported a decline in net income. At the end of the year, T. Burrows, the president, is presented with the following condensed comparative income statement: McDade Company Comparative Income Statement For the Years Ended December 31, 20Y2 and 20Y1 20Y2 20Y1 Sales $647,570 $551,000 Cost of goods sold 476,000 350,000 Gross profit $171,570 $201,000 Selling expenses $66,700 $46,000 Administrative expenses 38,400 29,000 Total operating expenses $105,100 $75,000 Income from operations $66,470...
Horizontal Analysis of Income Statement For 20Y2, McDade Company reported a decline in net income. At...
Horizontal Analysis of Income Statement For 20Y2, McDade Company reported a decline in net income. At the end of the year, T. Burrows, the president, is presented with the following condensed comparative income statement: McDade Company Comparative Income Statement For the Years Ended December 31, 20Y2 and 20Y1 20Y2 20Y1 Sales $486,592 $446,000 Cost of goods sold 336,000 280,000 Gross profit $150,592 $166,000 Selling expenses $47,500 $38,000 Administrative expenses 28,320 24,000 Total operating expenses $75,820 $62,000 Income from operations $74,772...
Section D: Financial Statement Analysis--Analytical Method The condensed income statements through income from operations for Amazon, Best Buy, and Walmart for a recent fiscal year follow in millions): Amazon Sales Cost of Goods Sold Gross Profit Selling and General Expenses Operating Expenses Income from Operations $88,988 62,752 $26,236 26,058 Best Buy $40,339 31,292 $ 9,047 7,592 Walmart $485,651 365,086 $120,565 93,418 0 $_178 $_1.450 $ 27.147 1. Prepare comparative common-sized income statements for each company. (Round percentages to one decimal...
using the data help solve rest
CONSOLIDATED STATEMENTS OF INCOME Walmart amazon Dollars in millions Year ended January 31, 2019 Amount $514,405 385,301 129,104 Year ended December 31, 2018 Amount $232,887 139,156 93,731 107,147 81,310 21,957 12,421 Net revenue Cost of goods sold Gross Profit Operating expenses Selling, general & adm expenses Net operating income Other non-operating income (expenses) Interest income Interest expense Other income (loss) - net Income before income taxes Provision for taxes Net income 217 (2,346) (8,368)...
just need help figuering out the percentage and part b
Vertical Analysis of Income Statement Revenue and expense data for Innovation Quarter Inc. for two recent years are as follows: Current Year Previous Year Sales $405,000 $352,000 Cost of goods sold 275,400 221,760 Selling expenses 52,650 52,800 Administrative expenses 56,700 45,760 Income tax expense 8,100 14,080 a. Prepare an income statement in comparative form, stating each item for both years as a percent of sales. If required, round percentages to...
A comparative income statement is given below for McKenzie Sales, Ltd., of Toronto: McKenzie Sales, Ltd Comparative Income Statement This Year $7,320,000 4,650,000 Last Year $5,563 200 3,515,000 Sales Cost of goods sold Gross margin 2,670,000 2,048,200 Selling and administrative expenses Selling expenses Administrative expenses 1.396,000 707.500 1,074,500 614,500 Total expenses 2.103,500 1,689,000 Net operating income Interest expense 566.500 100,000 359,200 85,000 Net income before taxes 466,500 $274,200 Members of the company's board of directors are surprised to see that...
Vertical Analysis of Income Statement For 20Y2, Tri-Comic Company initiated a sales promotion campaign that included the expenditure of an additional $21,000 for advertising. At the end of the year, Lumi Neer, the president, is presented with the following condensed comparative income statement: Tri-Comic Company Comparative Income Statement For the Years Ended December 31, 20Y2 and 2041 20Y2 20Y1 $746,000 $642,000 Sales Cost of goods sold Gross profit 350,620 333,840 $395,380 $308,160 Selling expenses $156,660 $128,400 82,060 83,460 Administrative expenses...
Refer to the ratio analysis example (listed below) and update
these ratios for Amazon, Sears, and eBay based on their
2015, 2016, and 2017 annual reports. Review other
applicable areas of the annual report, such as the footnotes and
MD&A and tell us what the results mean in your own words. What
do you think could explain the changes?
Defining Ratio Analysis (Continued) You will use ratio analysis throughout the rest of the course. For now, consider the following basic...
Most questions answered within 3 hours.
-
Humans have used horses for transportation for millions of
years. Therefore, they will use horses for...
asked 5 minutes ago -
The following are the Jensen Corporation's unit costs of making
and selling an item at a...
asked 39 minutes ago -
Does direct Medicare reimbursement of Advanced practice nurses
increase access to their services?
asked 1 hour ago -
List and explain why a company would choose to use a
published
compensation survey vs. creating...
asked 1 hour ago -
A discrete random variable X can take values from 1 to 10. Find
the variance of...
asked 1 hour ago -
The primary financial goal of a corporation is to maximize:
shareholders wealth.
earnings per share.
stock...
asked 1 hour ago -
determine whether the vectors u=(1,2,3,), v=(-2,1,0) and
w=(1,0,1) are linearly dependent or independent.
asked 2 hours ago -
python
Define a function called print_values which takes a dictionary
object as a parameter. The function...
asked 3 hours ago -
In Chapter 1 you created a program named Triangle in
which you displayed a seven-line triangle...
asked 3 hours ago -
Research question: What are the differences between separately
stated and non separately stated transactions in an...
asked 3 hours ago -
By using Arduino write a code that connects two LEDs to two
push-buttons. Each button controls...
asked 4 hours ago -
Bank of America has bonds that pay a coupon interest rate of 5.5
percent and mature...
asked 5 hours ago