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Google Inc., a major technology company, presents the following financials: Total Sales: $2,500,000,000 Cost of Goods Sold: $1,000,000,000 Operating Expenses: $800,000,000 Interest Expense: $70,000,000 Tax

  1. Google Inc., a major technology company, presents the following financials:
    • Total Sales: $2,500,000,000
    • Cost of Goods Sold: $1,000,000,000
    • Operating Expenses: $800,000,000
    • Interest Expense: $70,000,000
    • Tax Rate: 30%
    • Total Assets: $2,000,000,000
    • Total Liabilities: $1,200,000,000
    • Shareholders' Equity: $800,000,000

Requirements:


    1. Prepare an Income Statement for Google.
    2. Calculate the Gross Margin and Net Profit Margin.
    3. Determine the Return on Assets (ROA) and Return on Equity (ROE).
    4. Calculate the Current Ratio and Quick Ratio (assuming Inventory is $100,000,000).

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