HW1-1 (20 points)

In your position as research assistant to a portfolio manager, you need to analyze the profitability of the companies in the portfolio. Using the data Oracle Corporation (NASDAQ: ORCL) below:

FiSCAL YEAR 2019 2018 2017 2016 2015

Total Revenue 39,506 39,831 37,728 37,047 38,226

Net Income. 11,083 3,825 9,335. 8,901 9,938

1. Calculate the net profit margin for each year (Analysis 4 pts).
2. Calculate the compound average annual growth rates (CAGR) for revenue and net income using the GEOMEAN function (Identify and Access Needed Information 4 pts).
3. Calculate the average annual growth rate of total revenues using the AVERAGE function (Analysis 4 pts).
4. Create a Column chart of total revenue and net income. Be sure to change the chart so that the x-axis labels contain the year numbers, and format the axis so that 2019 is on the far right side of the axis. (Use Information Effectively to Accomplish a Specific Purpose 4 pts).
5. Interpretation: Please include your written description in the interpretation tab. If you do not complete this section with your words or leave the interpretation tab as a blank, you receive 0 point in this HW (Use Information Effectively to Accomplish a Specific Purpose 4 pts).
   1. Is net income growing more slowly or faster than total revenue? Is this a positive for your investment in the company? Please refer to your answer in b).
   2. Is this result more or less accurate than your result in the previous question? Why? Please refer to your answer in c).