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Apple Microsoft Market Capitalization 683 805 Sales 274 83 Operating Income 71 35 Net Income 59 16 Total Liabilities 278 193 Stockholder's Equity 107

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Apple Microsoft Market Capitalization 683 805 Sales 274 83 Operating Income 71 35 Net Income 59 16 Total Liabilities 278 193 Stockholder's Equity 107 102 Table 4.1: Financial Statement 4. You are consulting an investor regarding an investment decision between Apple and Mi- crosoft. You are asked to conduct a financial statement analysis. For both companies you observe the following information for 2020 as shown in Table 4.1: Compute the following measures for both companies: a) Operating Margin b) Net Profit Margin c) P/E Ratio d) Debt Equity Ratio e) Market-to-Book Ratio

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