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Microsoft Corporation, a leading technology company, provided the following financial data: Sales: $1,500,000,000 Cost of Goods Sold: $600,000,000 Operating Expenses: $400,000,000 Interest Expense: $50,000,000 Tax

  1.  Microsoft Corporation, a leading technology company, provided the following financial data:
    • Sales: $1,500,000,000
    • Cost of Goods Sold: $600,000,000
    • Operating Expenses: $400,000,000
    • Interest Expense: $50,000,000
    • Tax Rate: 28%
    • Total Assets: $1,200,000,000
    • Total Liabilities: $800,000,000
    • Shareholders' Equity: $400,000,000

Requirements:


    1. Prepare an Income Statement for Microsoft.
    2. Calculate the Gross Margin and Operating Margin.
    3. Determine the Return on Assets (ROA) and Return on Equity (ROE).
    4. Calculate the Current Ratio and Quick Ratio (assuming Inventory is $80,000,000).

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