IBM Corporation Comparative Financial Statements

Income Statement for Years Ended December 31, 2021, 2022, 2023

• Revenue: $57,350, $59,678, $61,932
• Cost of Revenue: $33,856, $34,895, $35,982
• Gross Profit: $23,494, $24,783, $25,950
• Operating Expenses: $16,349, $17,296, $18,025
• Operating Income: $7,145, $7,487, $7,925
• Interest Expense: $2,389, $2,420, $2,450
• Income Before Tax: $4,756, $5,067, $5,475
• Income Tax Expense: $950, $1,013, $1,094
• Net Income: $3,806, $4,054, $4,381

Balance Sheet as of December 31, 2021, 2022, 2023

• Assets
  • Current Assets: $23,871, $24,983, $26,090
  • Property, Plant, Equipment, Net: $27,623, $28,394, $29,237
  • Intangible Assets: $14,872, $15,427, $16,019
  • Total Assets: $66,366, $68,804, $71,346
• Liabilities and Equity
  • Current Liabilities: $19,789, $20,423, $21,083
  • Long-Term Debt: $32,672, $33,238, $33,827
  • Shareholders' Equity: $13,905, $15,143, $16,436
  • Total Liabilities and Equity: $66,366, $68,804, $71,346

Requirements

1. Calculate the gross profit margin for each year.
2. Determine the operating income as a percentage of revenue for each year.
3. Compute the debt to equity ratio for each year.
4. Assess the return on equity for each year.