1. Compare and contrast the business model of Groupon with the business models of

Amazon and Wal-Mart. Referring to the risk factors in the MD&A sections of their 10-Ks,

compare significant risks and opportunities across these companies. How do these business

risks translate to risks in financial reporting?

2.

Revenue and revenue growth are more important than income and income growth for

new businesses, especially in the new-age economy.

Do you agree with this statement?

Support your opinion by analyzing the relationship between Amazons revenue, income,

and its stock price from 1997 to 2010.

3. Using the data provided in Table 1, prepare common size income statements using

revenues and cost-of-goods-sold in the original S-1 and amended S-1. Analyze trends of

expenses as a percentage of revenue for 2009 and 2010. Compare and contrast the

following ratios:

a. Gross Margin Percentage;

b. Asset Turnover Ratio.