QUESTION 6 Partially correct Mark 7 50 out of 10.00 Rlag question Edit question Comparing Profitability Ratios for Competitors Selected income statement data for Abbott Laboratories, Bristol-Myers Squibb Company. Johnson & Johnson, GlaxoSmithKline plc, and Pfizer, Inc. is presented in the following table: Bristol- Johnson Glaxo Abbott Myers Smith (S millions) Laboratories Squibb Johnson Kline plc Pfizer Sales revenue $20,247 $11,660 $74,331 $35,872 $49,605 Cost of sales 9,218 3,932 22,746 11,418 9,577 SG&A expense 6,530 4,822 21,954 13,466 14,097 R&D expense 1,345 4,5348,494 5,379 8,393 Interest expense 150 203 533 1,134 1,360 Net income 2,284 2,029 16,323 4,2979,168 Required a. Compute the profit margin (PM) and gross profit margin (GPM) ratios for each company. (As a British company, GlaxoSmithKline plc has a statutory tax rate of 26.5% in 2014; assume a statutory rate of 35% for all other companies.) (Round your answers to one decimal place.) Glaxo Bristol- Johnson Abbott Myers Smith Kline plc Laboratories Squibb Johnson Pfizer 11.3 X 6 22 96 PM 17.4 % 185 X 69.4 96 45 96 66.3 68.2 807 GPM b. Compute the research and development (R&D) expense to sales ratio and the selling, general and administrative (SG&A) expense to sales ratio for each company (Round your answers to one decimal place.) Bristol- Johnson Glaxo Abbott Myers Smith Kline plc Laboratories Squibb Johnson Pfizer 6.6 38.9 15 96 16.9 6 R&D ETS 11.4 % SG&A ETS 32.3 41.4 29.5 6 37.5 6 28.4 V 6