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Company: Microsoft Corporation Item Amount (in millions) Revenue $168,088 Cost of Goods Sold (COGS) $56,200 Gross Profit $111,888 Operating Expenses $42,500 Operating Income $69,388 Interest

Company: Microsoft Corporation

Item

Amount (in millions)

Revenue

$168,088

Cost of Goods Sold (COGS)

$56,200

Gross Profit

$111,888

Operating Expenses

$42,500

Operating Income

$69,388

Interest Expense

$1,800

Income Tax Expense

$10,500

Net Income

$57,088

Questions:

  1. What is Microsoft's gross profit margin?
  2. Calculate Microsoft's operating profit margin.
  3. Determine Microsoft's net profit margin.
  4. If Microsoft’s total assets are $320,000 million, what is the return on assets (ROA)?
  5. What is the return on equity (ROE) if Microsoft’s total equity is $100,000 million?


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