AA 04-3 Global Analysis LO P3 The ratio of costs to revenues can indicate opportunities for activity-based costing to increase efficiency and reduce costs. Refer to Samsung's and Google's 2017 financial statements in Appendix A to answer the following. Required: 1. Compute the ratio of costs (titled as cost of sales plus selling and administrative expenses) to revenue for 2017. 2. Compute the ratio of costs (titled as cost of sales plus selling and administrative expenses) to revenue for 2016. 3. Was Samsung's ratio of costs to revenues higher in 2017 or 2016? Complete this question by entering your answers in the tabs below. Req 1 and 2 Req 3 Compute the ratio of costs (titled as cost of sales plus selling and administrative expenses) to revenue for 2017 and 2016. (Round your answers to three decimal places.) Dec. 31, 2017 Dec. 31, 2016 Ratio of costs to revenues AA 04-3 Global Analysis LO P3 The ratio of costs to revenues can indicate opportunities for activity-based costing to increase efficiency and reduce costs. Refer to Samsung's and Google's 2017 financial statements in Appendix A to answer the following. Required: 1. Compute the ratio of costs (titled as cost of sales plus selling and administrative expenses) to revenue for 2017. 2. Compute the ratio of costs (titled as cost of sales plus selling and administrative expenses) to revenue for 2016. 3. Was Samsung's ratio of costs to revenues higher in 2017 or 2016? Complete this question by entering your answers in the tabs below. Req 1 and 2 Reg 3 Was Samsung's ratio of costs to revenues higher in 2017 or 2016? Was Samsung's ratio of costs to revenues higher in 2017 or 2016? FINAL PAGES aptara EQA appendix Financial Statement Information This appendix includes financial information for (1) Apple (2) Google, and (3) Samsung, Apple states that it designs, manufactures, and markets mobile communication and media devices, personal computers, and portable digital music players, and sells a variety of related software, services, peripherals, network ing solutions, and third-party digital content and applications; it competes with both Google and Samsung in the United States and globally. The information in this appendix is taken from annual 10-K reports (or annual report for Samsung) filed with the SEC or other regulatory agency. An annual report is a sum- mary of a company's financial results for the year along with its current financial condition and future plans. This report is directed to external users of financial information, but it also affects the actions and decisions of internal users. A company often uses an annual report to showcase itself and its products. Many annual reports include photos, diagrams, and illustrations related to the company. The primary objective of annual reports, however, is the financial section, which communicates much information about a company, with most data drawn from the accounting information system. The content of a typical annual report's finan- cial section follows. Letter to Shareholders Financial History and Highlights Quantitative and Qualitative Disclosures about Risk Factors Management Discussion and Analysis Management's Report on Financial Statements and on Internal Controls Report of Independent Accountants (Auditor's Report) and on Internal Controls Financial Statements Notes to Financial Statements Directors, Officers, and Corporate Governance Executive Compensation Accounting Fees and Services This appendix provides the financial statements for Apple (plus selected notes), Google, and Samsung. The appendix is organized as follows: Apple A-2 through A-9 Google A-10 through A-13 Samsung A-14 through A-17 Many assignments at the end of each chapter refer to information in this appendix. We encourage readers to spend time with these assignments, they are especially useful in showing the relevance and diversity of accounting and reporting. APPLE GOOGLE Samsung Soecial note: The SEC maintains the EDGAR (Electronic Data Gathering, Analysis and Retrieval) database at SEC.gov for U.S. filers. The Form 10-K is the annual report form for most companies. It provides electronically accessible information. The Form 10-KSB is the annual report form filed by small businesses. It requires slightly less information than the Form 10-K. One of these forms must be filed within 90 days after the company's fiscal year-end. (Forms 10-K405, 10-KT, 10-KT405, and 10-KSB 405 are slight variations of the usual form due to certain regulations or rules.) A-1 wiL47856 appA A1 A17.indd 1 9119/18 12:58 PM te 12