Income Statement

All numbers in thousands

Revenue	12/31/2016	12/31/2015	12/31/2014
Total Revenue	135,987,000	107,006,000	88,988,000
Cost of Revenue	88,265,000	71,651,000	62,752,000
Gross Profit	47,722,000	35,355,000	26,236,000
Operating Expenses
Research Development	-	-	-
Selling General and Administrative	43,536,000	33,122,000	26,058,000
Non Recurring	-	-	-
Others	-	-	-
Total Operating Expenses	-	-	-
Operating Income or Loss	4,186,000	2,233,000	178,000
Income from Continuing Operations
Total Other Income/Expenses Net	190,000	-206,000	-79,000
Earnings Before Interest and Taxes	4,376,000	2,027,000	99,000
Interest Expense	484,000	459,000	210,000
Income Before Tax	3,892,000	1,568,000	-111,000
Income Tax Expense	1,425,000	950,000	167,000
Minority Interest	-	-	-
Net Income From Continuing Ops	2,371,000	596,000	-241,000
Non-recurring Events
Discontinued Operations	-	-	-
Extraordinary Items	-	-	-
Effect Of Accounting Changes	-	-	-
Other Items	-	-	-
Net Income
Net Income	2,371,000	596,000	-241,000
Preferred Stock And Other Adjustments	-	-	-
Net Income Applicable To Common Shares	2,371,000	596,000	-241,000

Balance Sheet

All numbers in thousands

Period Ending	12/31/2016	12/31/2015	12/31/2014
Current Assets
Cash And Cash Equivalents	19,334,000	15,890,000	14,557,000
Short Term Investments	6,647,000	3,918,000	2,859,000
Net Receivables	8,339,000	5,654,000	5,612,000
Inventory	11,461,000	10,243,000	8,299,000
Other Current Assets	-	-	-
Total Current Assets	45,781,000	35,705,000	31,327,000
Long Term Investments	-	-	-
Property Plant and Equipment	29,114,000	21,838,000	16,967,000
Goodwill	3,784,000	3,759,000	3,319,000
Intangible Assets	-	-	-
Accumulated Amortization	-	-	-
Other Assets	4,723,000	3,445,000	2,892,000
Deferred Long Term Asset Charges	-	-	-
Total Assets	83,402,000	64,747,000	54,505,000
Current Liabilities
Accounts Payable	39,048,000	30,769,000	26,266,000
Short/Current Long Term Debt	-	-	-
Other Current Liabilities	4,768,000	3,118,000	1,823,000
Total Current Liabilities	43,816,000	33,887,000	28,089,000
Long Term Debt	7,694,000	8,227,000	8,265,000
Other Liabilities	12,607,000	9,249,000	7,410,000
Deferred Long Term Liability Charges	-	-	-
Minority Interest	-	-	-
Negative Goodwill	-	-	-
Total Liabilities	64,117,000	51,363,000	43,764,000
Stockholders' Equity
Misc. Stocks Options Warrants	-	-	-
Redeemable Preferred Stock	-	-	-
Preferred Stock	-	-	-
Common Stock	5,000	5,000	5,000
Retained Earnings	4,916,000	2,545,000	1,949,000
Treasury Stock	-1,837,000	-1,837,000	-1,837,000
Capital Surplus	17,186,000	13,394,000	11,135,000
Other Stockholder Equity	-985,000	-723,000	-511,000
Total Stockholder Equity	19,285,000	13,384,000	10,741,000
Net Tangible Assets	15,501,000	9,625,000	7,422,000

Cash Flow

All numbers in thousands

Period Ending	12/31/2016	12/31/2015	12/31/2014
Net Income	2,371,000	596,000	-241,000
Operating Activities, Cash Flows Provided By or Used In
Depreciation	8,116,000	6,281,000	4,746,000
Adjustments To Net Income	2,040,000	2,486,000	1,363,000
Changes In Accounts Receivables	-3,367,000	-1,755,000	-1,039,000
Changes In Liabilities	18,685,000	12,608,000	6,898,000
Changes In Inventories	-1,426,000	-2,187,000	-1,193,000
Changes In Other Operating Activities	-9,976,000	-6,109,000	-3,692,000
Total Cash Flow From Operating Activities	16,443,000	11,920,000	6,842,000
Investing Activities, Cash Flows Provided By or Used In
Capital Expenditures	-6,737,000	-4,589,000	-4,893,000
Investments	-3,023,000	-1,066,000	807,000
Other Cash flows from Investing Activities	-116,000	-795,000	-979,000
Total Cash Flows From Investing Activities	-9,876,000	-6,450,000	-5,065,000
Financing Activities, Cash Flows Provided By or Used In
Dividends Paid	-	-	-
Sale Purchase of Stock	-	-	-
Net Borrowings	-3,740,000	-3,882,000	4,426,000
Other Cash Flows from Financing Activities	-	-	-
Total Cash Flows From Financing Activities	-2,911,000	-3,763,000	4,432,000
Effect Of Exchange Rate Changes	-212,000	-374,000	-310,000
Change In Cash and Cash Equivalents	3,444,000	1,333,000	5,899,000

1) Conduct a ratio analysis of the company Amazon using the 2016 balance sheet, income statement, and statement of cashflow using https://finance.yahoo.com/quote/WMT/balance-sheet?p=WMT thats provided above.

Conduct a ratio analysis of the company Using these 13 ratios

Classification System

A. Profitability ratio

-1. Profit margin

-2. Return on assets (investment)

-3 Return on equity

B. Asset-utilization ratios

-4. Receivable turnover

-5. Average collection period

-6. Inventory turn over

-7. Fixed asset turnover

-8, Total asset turnover

C. Liquidity ratios

-9. Current ratios

10. Quick ratios

D. Debt-utililization ratios

-11. Debt total assets

-12. Times interest earned

-13. Fixed charge coverage

a. Analysis should include both numeric calculation and personal opinion of the ratio analysis

b. Note: Calculations can be completed on separate paper, but description of the calculation should be typed.

Assuming you wanted to invest ONLY in the company you select.

You want to buy 20 shares per month for 20 years, calculate how much money you need today to do so.

c. Assume constant stock price

d. Select risk free interest rate and defend the value you select. Assume the company is offering a $1million, 30-year bond at a fixed rate of 7.5% compounded monthly. How much should the company sell it for?

Include at bottom of excel spread sheet.

Based on your ratio analysis in part (4), are bonds or stocks a better pick? Why?

Discuss the stock market trend associated with the company you selected.

Perform a CAPM study of the stock Would you invest, why or why not

Would you invest, why or why not?

Discuss the stock market trend associated with the company you selected.

Perform a CAPM study of the stock

Would you invest, why or why not?