Required:

1) For each quarter of data, decompose AMCs ROE into the 5 component ratios that we discussed in class.

2-6) Discuss what each of the components of the decomposition means or represents (I do not want a formula - I want an explanation of the practical concept represented by each ratio).

7) Discuss the patterns/trends you see in the decomposition (what does this foretell for the companys future?).

8-9) AMC has traditionally had 3 revenue streams: Admissions; Food and Beverage; and Other Theater. For each quarter, compute the Gross Margin percentages for Admissions andFood and Beverage. Note, explicitly, the assumptions you made in making your calculations.

10-11) Discuss the patterns you see in the revenue streams.

12) Create common-size income statements (by quarter) for AMC (a common-size income statement takes each item on the income statement and divides it by that periods total revenues).

13-15) What are the three items that comprise, in general, the largest costs for AMC? How have they varied over time? Going forward, what are the implications of any identified variations for AMCs profitability?

16) What are your thoughts about AMCs ability to return to profitability in a post-pandemic economy (you might want to reference the Statement of Cash Flows in your response)?

17) From a financial perspective, what are the greatest obstacles to AMCs future prospects?

18) From a financial perspective, what are the greatest strengths impacting AMCs future prospects?

19-20) Given your analysis in 1-18 above (the trends in AMCs performance, its financial strengths and weaknesses), who do you think will win the game of chicken? Is the stock price likely to go up or down? On what, specifically, do you base your conclusion.