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Prepare common-size income statements for Walmart and Starbucks using the January 2015 and September 2014 information in the popup window: Which company is doing a

Prepare common-size income statements for Walmart and Starbucks using the January 2015 and September 2014 information in the popup window:

Which company is doing a better job of getting sales dollars to net income? Where is the one company having an advantage over the other company in turning revenue into net income?

Abbreviated Income Statements ($ in Millions)

Company

Walmart, Inc.

Starbucks

Account

1/31/2015

9/30/2014

Sales

$491,942

100.00

%

$16,852

100.00

%

Cost of goods sold

$-370,447

?

%

$-7,246

?

%

Selling, general, and administrative expenses

$-94,506

?

%

$-11,559

?

%

EBIT

$26,989

?

%

$-1,953

?

%

Interest expense

$-2,359

?

%

$-25

?

%

Taxes

$-9,113

?

%

$732

?

%

Net income

$15,517

?

%

$-1,246

?

%

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