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SBI Corporation Income Statements (excerpt) 2019 2018 $71,890 $70,074 21,685 21,536 50,205 48,538 19,945 21,203 9,095 9,046 224 -368 726 552 484 -2,064 4911 509

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SBI Corporation Income Statements (excerpt) 2019 2018 $71,890 $70,074 21,685 21,536 50,205 48,538 19,945 21,203 9,095 9,046 224 -368 726 552 484 -2,064 4911 509 19,803 19,196 3,263 3,787 $16,540 $15,409 (dollars in millions) Sales to customers Cost of products sold Gross profit Selling, marketing and administrative expenses Research and development expense In-process research and development Interest income Interest expense, net of portion capitalized Other (income)expense, net Restructuring Earnings before provision for taxes on income Provision for taxes on income Net earnings 29 -128 A. Horizontal Analysis a. Compute the difference in each line item from 2018 to 2019. b. Using 2018 as a base year, determine the change and percentage change in each line item from 2018 to 2019. c. Did sales to customers increase or decrease from 2015 to 2016? d. Did net income increase for decrease from 2018 to 2019? e. What line item(s) is (are) driving the differences between sales to customers and net income from 2018 to 2019

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