Show or calculate gross profit for the current and prior years. Use the revenue and expense account names used by the company in Column 1. Calculate the gross profit as a percentage of net sales (formula given in chart). For dollar amounts, indicate at the top if the numbers are in thousands or millions All numbers are right justified. 2c: Ratio Analysis: Vertical Analysis Current Year Prior Year Net Sales Cost of Goods Sold Gross Profit (Net Sales-Cost of Goods Sold) Gross Profit Percentage (Gross profit/Net Sales) Net Income Net Income percentage (Net Income/Net Sales) Which year had the stronger Gross Profit Percentage? Gross Profit Percentage must be expressed in percentage format and carried to two decimal places. That means, if your calculator shows 0.3925 as an answer, the percentage would be 39.25%. (This applies to any calculation throughout the project that requires a % as an answer). If your company separately identifies both revenue and cost of revenue streams for different segments of its business, make these calculations only for the segment with the largest revenue (usually the first time on the income statement). JOHNSON & JOHNSON AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS At January 3, 2021 and December 29, 2019 (Dollars in Millions Except Share and Per Share Amounts) (Note 1) 2020 2019 $ 13,985 11.200 13.576 9,344 3.132 51,237 18.766 3.402 36,393 8.534 6,562 174,894 17.305 1.982 14.481 9,020 2,392 94 45.274 17,658 47.643 33.639 7,819 5,699 157,728 $ Assets Current assets Cash and cash equivalents (Notes 1 and 2) Marketable securities (Notes 1 and 2) Accounts receivable trade, less allowances for doubtful accounts $293 (2019.5226) Inventories (Notes 1 and 3) Prepaid expenses and other receivables Assets held for sale (Note 18) Total current assets Property, plant and equipment, net (Notes 1 and 4) Intangible assets, net (Notes 1 and 5) Goodwill (Notes 1 and 5) Deferred taxes on income (Note 8) Other assets Total assets Liabilities and Shareholders' Equity Current liabilities Loans and notes payable (Note 7) Accounts payable Accrued liabilities Accrued rebates, returns and promotions Accrued compensation and employee related obligations Accrued taxes on income (Note 8) Total current liabilities Long-term debt (Note 7) Deferred taxes on income (Note 8) Employee related obligations (Notes 9 and 10) Long-term taxes payable (Note 1) Other liabilities Total liabilities Commitments and Contingencies (Note 19) Shareholders' equity Preferred stock without par value (authorized and unissued 2,000,000 shares) Common stock - par value S1.00 per share (Note 12) (authorized 4.320,000,000 shares, issued 3.119.843,000 shares) Accumulated other comprehensive income (loss) (Note 13) Hetained earnings 2.631 9.505 13,968 11.513 3,484 1.392 42,493 32,635 7,214 10,771 6,559 11.944 111,616 1,202 8.544 9,715 10.883 1354 2,266 35.964 26.494 5.958 10,663 7.444 11.734 98,257 Less: common stock held in treasury, al cost (Notc 12) (487,331,000 shares and 487,336,000 shares) Total shareholders' equity Total liabilities and shareholders' equity 3,120 (15.242) 113.890 101,768 38,490 63,278 174,894 3,120 (15.891) 110.639 97.888 38,417 59,471 157,728 See Notes to Consolidated Financial Statements JOHNSON & JOHNSON AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS Collars i Millies) (Note: 1) 301 101 Cash flows from speruline artisti 5 14714 IS 15. TO VI . 10 7211 100 233 (1,141) (111) (1.141) 0.14) 0.475) (1 217) 01.016) cn 714 12652 5.141 (704) 144 21.536 (2 277) 40V 1,054 1425 23,411 1.15) (644) 5.951 (275) EN 23,101 0,670 3,303 (899) Adjustments to concearingsformering precionado frygtes Stuck has competin Assented Content consider wherever Net alfabesi Deferred Credite account meble wow Onges and liabilities ofeffets fem sind die Increase in reale Incine Increase in s payable and credit Increase there and current Increase Decree other concern abilities Net cash flows from operating activities Cash flows from investing activities Addition to property, plant and equipment Proceeds from the disposal of business, Acquisitions of cash acquired (1) Purchase Salex afin Gapport sportcity Other (primarily Scenes and me Nel cash wed by investigates Cash for financiag activities Didende so wharchas Hapucha af cock Proces showtem dehi Kepayant of short-term che Proceeds from long-term de anco Repayment of long-term dhe Prexceeds from the recitesteck optimployee withholding on Mackwards, net Cet apport agreements divity, Other Nefcathed by facing activities Fiffect of endurerate changes on cash and cash equivalent (Decrease increase in cash and cash equiva Cash and can even beginning of year (el) Cash and chequivalents, end of year (Nate) 0.347) 305 (7.32) 21.08 12.117 1987) (521) (20.825) 03.09) 3.65 10 13.920 3.167 330 4 46,190 4.2 (464) (9,917) (104111 13.221) 3.391 12.663) 7,431 11.064 1.114 (333) (294) 16.120) 99 3,320) 17.105 12 (100) 1 (2.23 954 100 45 (18.015) 19.494) 15.063) NO 12.4793 5 (1.3333 919 25 (173) (1310 (241) 283 17.824 18.107 9) (021 1810 17.305 Supplemental cash few data Cash paid during the year for Interest Limeres e of capital Increase 901 541 4619 995 925 4191 119 963 4570 Sepplemental schedule of new cash investing and financing activities Trock employee compensation and stock option planet of cash peace playee withholding to lock was Crveis of 5 1.937 21 1 Angelland File of an acquired Fur value of the same und controlling 34756 HO 7.823 (141 510 LOET (145) 99 JOHNSON & JOHNSON AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF EARNINGS (Dollars and Shares in Millions Except Per Share Amounts) (Note 1) 2020 Sales to customers 82.584 Cost of products sold 28.422 Gross profit 54,157 Selling, marketing and administrative expenses 22,084 Research and development expense 12.159 In-process research and development (Note 5) 181 Interest income (111) Interest expense, net of portion capitalized (Note 4) 201 Other (income) expense, net 2,899 Restructuring (Note 20) 247 Earnings before provision for taxes on income 16,497 Provision for taxes on income (Note 8) 1,783 Net earnings 14,714 2019 82,059 27.556 54,503 22,178 11.355 890 (357) 318 2,525 266 17.328 2,209 15,119 S s 5.59 5.51 5.72 5.63 Net earnings per share (Notes I and 15) Basic Diluted Average shares outstanding (Notes 1 and 15) Basic Diluted 2.632.8 2,670.7 2,645.1 2,684.3 See Notes to Consolidated Financial Statements