Analyze Amazon.com Amazon.com, Inc. (AMZN) is the largest Internet retailer in the United States. Amazon's income statements for two recent years follow: Amazon.com, Inc. Income Statements For the Years Ended December 31 (in millions) Year 2 Year 1 Revenues: Product sales Service sales Total revenues Operating expenses: $94,665 41,322 $79,268 27,738 $135,987 $107,006 Cost of sales Fulfillment Marketing Technology and content General and administrative Other operating expense (income), net Total operating expenses Operating income. $(88,265) $(71,651) (17,619) (13,410) (7,233) (5,254) (16,085) (12,540) (2.432) (167) (1.747) (171) $(131,801) $(104,773) $4,186 $2,233 Required: a. Prepare a horizontal analysis of the income statements. Round percentages to one decimal place Amazon.com, Inc. Income Statements For the Years Ended December 31 (in millions) Increase/(Decrease) Year 2 Year 1 Amount Percent Revenues Product sales 194,665 $79,298 Service sales 41.322 27,796 Prepare a horizontal analysis of the income statements Round percentages to one decimal place. Amazon.com, Inc. Income Statements For the Years Ended December 31 Revenues Product sales Service sales Total revenues Operating expenses Cost of sales Increase/(Decrease) Year 2 Year 1 Amount Percent 294,665 17026 41.322 27,738 $135,987 $107,000 265) 71) Fulfilment (17,10) (13,400) Marketing (7.233) (5,254) Technology and content (14.065) (12,540) General and administrative (2432) (1,747) other operating expense (income), net Total operating expenses (167) $131,801) (171) 304,773) Operating Income $7,333 b. The horizontal analysis shown that total re nerve sales Services order fulfilment services provided for other bass. This part of Amppariety Neal springs the than revetues. The expense growth agears to be ang all the main pen cages The sat rest is a vicent significant p in operating in are red for a heading Wean and rear indicating that expenses a prining the tears. Tanann domo Homework Week 1: Due MAR 26 1 MP0101 ALGO 2 BE 0101 ALGO 3 BE 01 02 ALGO 4BE 01.04 ALGO 5 BE01 06 ALOO Analyte Amazon.com Amazon.com, lac. (AMZN) is the largest internet retailer in the thited States mazs me statements for two recent show Amazon.com, Inc. For the Years Ended December 31 Year Year 1 P BE 01 07 ALGO 7. BE 01 08 ALOO MAD 201 MAD 02 04 10 MAD0206 Centif 41.322 27739 $125.90 $107,006 245) 7 (250 (HMS) (540) (167) 1031801) 801047 For the Years Ended December 31 41309 2 BE 0101 ALGO 3B0100 ALGO BEC104 ALGO 5.BE 0106 ALGO BE01 ST ALGO 7.BE 0108 ALGO MAD0201 MAD204 MAD Required: Prepare a horizontal any of the name Round percentages to e Inne Statements for the Years Ended December 31 Year P H ALRE 22.7 WA CHUME 9 0