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Analyze and compare Amazon.com and Netflix Amazon.com, Inc. (AMZN) is one of the largest Internet retailers in the world. Netflix, Inc. (NFLX) provides digital streaming
Analyze and compare Amazon.com and Netflix Amazon.com, Inc. (AMZN) is one of the largest Internet retailers in the world. Netflix, Inc. (NFLX) provides digital streaming and DVD rentals in the United States. Amazon and Netflix compete in streaming and digital services; however, Amazon also sells many other products through the Internet. The sales and total assets (in millions) from recent financial statements were reported as follows for both companies: Amazon Netflix Total revenues (sales) Total assets: $280,522 $20,156 Beginning of year 162,648 25,974 225,248 33,976 End of year a. Which of these assets are used by Netflix, Inc. to generate revenue? a. DVD content library b. Distribution centers c. Streaming content library d. Manufacturing plant 1. a and b 2. a and c 3. a and d 4. b and c b. Compute the asset turnover ratio for each company. Round to two decimal places. Beginning of year 162,648 25,974 225,248 33,976 End of year a. Which of these assets are used by Netflix, Inc. to generate revenue? a. DVD content library b. Distribution centers c. Streaming content library d. Manufacturing plant 1. a and b 2. a and c 3. a and d 4. b and c b. Compute the asset turnover ratio for each company. Round to two decimal places. Amazon Netflix Asset turnover ratio c. Which company generates sales from total assets more efficiently
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