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Return on Sales ($ in millions) Amazon.com Sears Holdings eBay 2010 2009 2008 2010 2009 2008 2010 2009 2008 Net income 1,152 902 645 150
Return on Sales ($ in millions) Amazon.com Sears Holdings eBay 2010 2009 2008 2010 2009 2008 2010 2009 2008 Net income 1,152 902 645 150 297 99 1,801 2389 1779 Sales revenue 34,204 24,509 19,166 43,326 44,043 46,770 9.156 8,727 8,541 Return on sales 3.4% 3.7% 3.4% 0.3% 0.7% 0.2%% 19.7% 27.4% 20.8% A/B Figure 3.1. Return on Sales Asset Turnover ($ in millions) Amazon.com Sears Holdings eBay 2010 2009 2008 2010 2009 2008 2010 2005 2008 Sales revenue 34,204 24,509 19,166 43,326 44,043 46,770 9,156 8,727 8,541 Total assets 18,797 13,813 8.314 24,268 24,808 25,342 22,004 18,408 15.592 Asset turnover 1.8 1.8 2.3 1.8 1.8 1.8 0.4 0.5 0.5 A/B Figure 3.2. Asset Turnover Gross Profit Margin (S in millions) Amazon.com Sears Holdings eBay 2010 2009 2008 2010 2009 2008 2010 2009 2008 Gross Profit 7,643 5,531 1,270 11,878 12,219 12,652 6,592 6,248 6,313 Sales Revenue 34,204 24,509 19,166 43.326 44,043 46,770 9.156 8,727 8.541 B Gross Profit Margin 22.3% 22.6% 22.3% 27.4%% 27.7% 27.1%% 72.0% 71.6% 73.9% A/B Figure 3.3. Gross Profit Margin Refer to the ratio analysis examples (Figures 3.1-3.3) and update these ratios for Amazon, Sears, and eBay based on their 2015, 2016, and 2017 annual reports. Review other applicable areas of the annual report, such as the footnotes and MD&A and tell us what the results mean in your own words. What do you think could explain the changes
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