1. Amazon.com, Inc.

INCOME STATEMENT
 (Figures in $ millions)
 Net sales: $280,520
 Cost of goods sold: $184,700
 Other expenses: $71,250
 Depreciation: $10,570
 Earnings before interest and taxes (EBIT): $14,000
 Interest expense: $2,700
 Income before tax: $11,300
 Taxes (at 25%): $2,825
 Net income: $8,475
 Dividends: $0

BALANCE SHEET
 (Figures in $ millions)

	End of Year	Start of Year
Assets
Cash and marketable securities	$21,850	$20,100
Receivables	$22,175	$21,500
Inventories	$16,700	$17,350
Other current assets	$12,750	$11,900
Total current assets	$73,475	$70,850
Net property, plant, and equipment	$89,500	$84,150
Other long-term assets	$29,750	$27,500
Total assets	$192,725	$182,500
Liabilities and shareholders’ equity
Payables	$37,150	$35,750
Short-term debt	$11,250	$12,500
Other current liabilities	$8,500	$8,250
Total current liabilities	$56,900	$56,500
Long-term debt and leases	$22,300	$24,000
Other long-term liabilities	$36,950	$35,250
Shareholders’ equity	$76,575	$66,750
Total liabilities and shareholders’ equity	$192,725	$182,500

Calculate the following financial ratios for Amazon.com, Inc.: a. Return on equity (use average balance sheet figures)% b. Return on assets (use average balance sheet figures)% c. Return on capital (use average balance sheet figures)______% d. Days in inventory (use start-of-year balance sheet figures)____days e. Inventory turnover (use start-of-year balance sheet figures) f. Average collection period (use start-of-year balance sheet figures)____days g. Operating profit margin ____% h. Long-term debt ratio (use end-of-year balance sheet figures) i. Total debt ratio (use end-of-year balance sheet figures) j. Times interest earned k. Cash coverage ratio l. Current ratio (use end-of-year balance sheet figures) m. Quick ratio (use end-of-year balance sheet figures)