Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Using the following comparative financial statements of Microsoft Corporation for the years 2020, 2021, and 2022, answer the questions below: 2020 2021 2022 Revenue $143,015
Using the following comparative financial statements of Microsoft Corporation for the years 2020, 2021, and 2022, answer the questions below:
2020 | 2021 | 2022 | |
Revenue | $143,015 | $168,088 | $192,557 |
Cost of Revenue | $46,078 | $52,232 | $57,651 |
Gross Profit | $96,937 | $115,856 | $134,906 |
Operating Expenses | $35,056 | $43,076 | $47,800 |
Operating Income | $61,881 | $72,780 | $87,106 |
Net Income | $44,281 | $61,271 | $72,731 |
2020 | 2021 | 2022 | |
Total Assets | $301,311 | $333,779 | $364,840 |
Total Liabilities | $183,007 | $191,791 | $198,528 |
Shareholders' Equity | $118,304 | $141,988 | $166,312 |
Requirements:
- Calculate the operating profit margin for each year.
- Determine the net profit margin for each year.
- Calculate the return on assets (ROA) for each year.
- Compute the return on equity (ROE) for each year.
- Discuss the overall financial health and performance of Microsoft Corporation over these years.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started