Question
Microsoft Corporation presented the following income statement for the year ended June 30, 2023: Item Amount (in millions) Revenue $168,088 Cost of Revenue $50,422 Gross
Microsoft Corporation presented the following income statement for the year ended June 30, 2023:
Item | Amount (in millions) |
Revenue | $168,088 |
Cost of Revenue | $50,422 |
Gross Profit | $117,666 |
Operating Expenses | $61,792 |
Operating Income | $55,874 |
Interest Expense | $545 |
Income Before Taxes | $56,077 |
Income Tax Expense | $14,135 |
Net Income | $41,942 |
a. Compute Microsoft Corporation's gross profit margin. b. Determine the operating income margin for Microsoft Corporation. c. Discuss the impact of Microsoft Corporation's operating expenses on its profitability. d. Analyze the net income trend of Microsoft Corporation over the past five fiscal years.
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