IBM

Required:

$1.$ Compute the five component ratios of a decomposition of ROE $($net profit margin, total asset

turnover, return on assets, financial leverage, return on equity$)$ for IBM$$s fiscal years $2016-2019$

$($present your results$)$

$2.$ What patterns do you see? What are the implications of these patterns?

$3.$ Compute each segment$$s revenue as a percentage of IBM total revenues by quarter.

$4.$ What patterns do you see? What are the implications of these patterns?

$5.$ Compute the gross margin percentage, by quarter, for each of IBM$$s segments $($present your

results$).$

$6.$ What patterns do you see? What are the implications of these patterns?

$7.$ Compute the year$-$to$-$year change, by quarter, in Revenues for each of IBM$$s business segments

$($present your results$).$

$8.$ What patterns to you see? What are the implications of these patterns?

$9.$ Compute the year$-$to$-$year change in gross margin percentage, by quarter, for each of IBM$$s

segments $($present your results$).$

$10.$ What patterns to you see? What are the implications of these patterns?

$11.$ Which segment$($s$)$ are positively $($negatively$)$ influencing IBM$$s recent performance? What are

the implications of this?

$12.$ What does your analysis indicate regarding IBM$$s future performance?

To facilitate your analysis, the data below are inserted into this document as an Excel Objects.$\backslash$table$[[$STATEMENT OF FINANCIAL POSITION,$2017,2018,2019],[$Fiscal Year:,$2015],[$ASSETS$],[$Cash $2$ Equivalents,$8,227,12,980,12,222,9,009],[$Receivabies $-$ Total $($Net$),29,249,31,630,31,034,23,799],[$Inventories $-$ Tots$|,1,993,1,983,1,682,1,619],[$Current Assets $-$ Other,$4,953,3,942,4,208,3,997],[$Current Assets $-$ Total,$43,838,49,739,49,146,33,420],[$Plant$,$ Froperty & Equip $($Net$),10,830,11,116,10,792,10,010],[$Investments at Equity,$89,50,192,2,074],[$Investments and Advances $-$ ot$,9,471,10,092,9,941,8,712],[$Intangibies$,40,837,40,930,39,393,73,496],[$Deferred Charges,$4,761,6,480,7,342,7,696],[$Assets $-$ Other,$7,243,7,393,7,016,11,861],[$TOTAL ASSETS,$117,470,129,325,123,382,192,186],[$LIABILITIES$],[$Accounts Payable,$6,209,6,491,6,998,5,366],[$Notes Fapable,$1,274,1,773,3,196,-],[$Accrued Expenses$],[$Taxes Payable,$3,235,4,219,3,046,2,839],[$Debt $($Long$-$Term$)$ Due in One Ye$,6,239,5,214,7,091,8,797],[$Other Current Lisbilities,$19,318,19,705,18,416,19,789],[$Total Current Lisbilities,$36,279,37,363,38,227,37,701],[$Long Term Dets:,$34,695,39,837,39,609,54,102],[$Deferred Taxes $($Ealance sheet$),425,245,3,696,3,891],[$Lisbilities $-$ Other,$27,723,29,885,28,929,28,784],[$TOTAL LAAILITIES,$99,078,107,631,106,493,131,202],[$SHAREHOLDERS$\text{'}$ EQUITY$],[$Cemmen stock,$445,445,447,448],[$Capital Surplus,$53,490,54,120,54,704,59,447],[$Retsined Esmings $[$Net Other$],123,351,126,234,129,716,134,397],[$Less: Tressury Stock,$199,090,163,205,158,071,169,413],[$Shareholders Equity$-$Farent:,$18,245,17,994,16,796,20,841],[$Noncontrolling Interest$-$Nonredet,$145,131,133,144],[$TOTAL SHAREHOLDERS EQUITY,$18,392,17,725,16,929,20,989],[$INCOME STATEMENT$],[$Fiscal Year:,$2016,2017,2018,2,019],[$Sales $($Ne:$),79,920,79,139,79,291,77,147],[$Cost of Goods sold,$37,171,38,209,37,896,40,699],[$Grass Fratit,$42,749,40,930,41,739,35,488],[$Selling$,$ Genersl, $Q$ Admin Exper,$26,390,29,476,24,294,20,604],[$Opereting Income Eefore Deprecis,$16,339,19,494,17,441,15,884]]$