Financial Analysis: Part III Refer to the annual report for the Amazon company for the Financial Analysis:

Part I activity in Week 1.

Read the Chairman’s letter of Amazon and any information regarding opportunities and growth; there should be some percentages mentioned, if not in the letter, then in the annual report numbers.

What is the level of growth experienced by the company?

Is the organization experiencing short- and long-term economic growth, experiencing contraction, or remaining stable?

Do you see potential opportunities ahead, or have they stalled? Explain.

Review the balance sheet and income statement for the most recent year for the company you had selected for the Financial Analysis: Part I activity in Week 1.

Construct a pro forma income statement for the next year, and answer the following questions: What are your external financing needs for the year?

Do your balance sheet and income statement match the budget estimates for that year? If not, why not? If so, why?