Undefined Relevant Ratios and Discussion of Your Findings of Vertical Analysis - Discuss briefly your vertical analysis findings, which are calculated automatically on the spreadsheet under the vertical analysis tab. Then, identify any key ratios that you think impact vertical analysis. (10 points)

=	=	=	=	=
INCOME STATEMENT	2015	2014	2013	2012
-	----------	----------	----------	----------
Net Sales	100.00%	100.00%	100.00%	100.00%
Less: Cost of Goods Sold	1.07%	1.24%	1.52%	1.89%
	----------	----------	----------	----------
Gross Profit	98.93%	98.76%	98.48%	98.11%
Other Operating Revenue	0.00%	0.00%	0.00%	0.00%
Less: Operating Expenses	54.12%	53.94%	53.75%	53.40%
	----------	----------	----------	----------
Operating Income	44.81%	44.82%	44.73%	44.71%
Less: Interest Expense	3.35%	3.31%	3.35%	3.76%
(no capitalized interest)
Other Income (Expenses)	-4.10%	-3.13%	-4.33%	-9.74%
Unusual or Infreq. Item;
Gain (Loss)	0.00%	0.00%	0.00%	0.00%
Equity in Earnings of Assoc.;
Profit (Loss)	0.00%	0.00%	0.00%	0.00%
	----------	----------	----------	----------
Income before Taxes	37.37%	38.38%	37.05%	31.20%
Less:Taxes Related to Operations	11.51%	11.66%	11.81%	9.98%
	----------	----------	----------	----------
N.I. before Min. Ern.	25.85%	26.71%	25.23%	21.23%
Minority Share of Earnings (Loss)	-0.42%	-0.62%	-0.39%	-0.52%
	----------	----------	----------	----------
N.I. before Nonrecurring Items	25.43%	26.09%	24.84%	20.71%
Oper. of Discontinued Segment;
Income (Loss)	0.00%	0.00%	0.00%	0.00%
Disposal of Discont. Segment;
Gain (Loss)	0.00%	0.00%	0.00%	0.00%
Extraordinary Item;
Gain (Loss)	0.00%	0.00%	0.00%	0.00%
Cum. Effect of Acct Change;
Gain (Loss)	0.00%	0.00%	0.00%	0.00%
	----------	----------	----------	----------
Net Income (Loss)	25.43%	26.09%	24.84%	20.71%
=	=	=	=	=
BALANCE SHEET	2015	2014	2013	2012
-	---------	---------	---------	---------
ASSETS
Current Assets:
Cash	32.27%	32.20%	30.31%	26.34%
Marketable Securities	0.00%	0.00%	0.00%	0.00%
Gross Receivables	0.00%	0.00%	0.00%	0.00%
Less: Allowance for Bad Debts	0.00%	0.00%	0.00%	0.00%
Net Trade Receivables	0.00%	0.00%	0.00%	0.00%
Inventories	0.00%	0.00%	0.00%	0.00%
Prepaid Expenses	0.00%	0.00%	0.00%	0.00%
Other Current Assets	0.00%	0.00%	0.00%	0.00%
	---------	---------	---------	---------
Total Current Assets	32.27%	32.20%	30.31%	26.34%
Long-Term Assets:
Net Tangible (Fixed) Assets (other than construction in progress)	0.00%	0.00%	0.00%	0.00%
Construction in Progress	0.00%	0.00%	0.00%	0.00%
Intangible Assets	1.15%	1.24%	1.39%	1.49%
Investments	61.57%	61.32%	63.08%	66.10%
Other Nonoperating Assets	4.61%	4.83%	4.73%	5.52%
Other Operating Assets	0.39%	0.42%	0.49%	0.55%
	---------	---------	---------	---------
Total Long-Term Assets	67.73%	67.80%	69.69%	73.66%
Total Assets	100.00%	100.00%	100.00%	100.00%
LIABILITIES AND EQUITY
Current Liabilities:
Accounts Payable	3.32%	4.14%	3.59%	4.47%
Short Term Loans	0.00%	0.00%	0.00%	0.00%
Current Maturity of L.t. Debt	0.00%	0.00%	0.00%	0.00%
Other Current Liabilities	55.29%	56.21%	58.31%	58.45%
	---------	---------	---------	---------
Total Current Liabilities	58.61%	60.36%	61.90%	62.92%
Long-Term Liabilities:
Long-term Debt	4.41%	3.06%	2.91%	3.33%
Reserves	0.00%	0.00%	0.00%	0.00%
Deferred Liabilities	0.00%	0.00%	0.00%	0.00%
Minority Interest	0.04%	0.04%	0.05%	0.08%
Redeemable Preferred	0.00%	0.00%	0.00%	0.00%
Other Long-term Liabilities	0.00%	0.00%	0.00%	0.00%
	---------	---------	---------	---------
Total Long-term Liabilities	4.45%	3.10%	2.96%	3.41%
Total Liabilities	63.06%	63.46%	64.86%	66.33%
Shareholders' Equity:
Preferred Equity	0.00%	0.00%	0.00%	0.00%
Common Equity-incl. Ret. Ern.	8.72%	8.87%	9.19%	9.18%
	---------	---------	---------	---------
Total Equity	8.72%	8.87%	9.19%	9.18%
Total Liabilities and Equity	71.78%	72.33%	74.05%	75.52%
=	=	=	=	=