18. A firm has sales of $1,500, net income of $100, total assets of $1,000, and total equity of $700. Interest expense is $50. What is the common-size statement value of the interest expense?
18. A firm has sales of $1,500, net income of $100, total assets of ...
Common size statement value is explicated in the solution.
See attached file.
I need help answering a couple of questions dealing with Apple Inc and Microsoft. I have Apple's FY 2009 data but don't have Microsoft's.
1. How does Apple Inc income statement common-size data and the profitability ratios differ from Microsoft's? Based on annual report data, why might these differences exist?
2. What balance sheet and liquidity ratios differ from competitor? Based on annual report data, why might these differences exist?
3. Do the operational ratios compare favorable to the competitor?
4. In your opinion, how does the company compare to the competitor? What are the primary differences? What factors explain the reasons for these differences?