Question: Key comparative figures ($ millions) for both NIKE and Reebok follow: Required: a. Compute common-size percents for both companies using the data provided. b. Which

Key comparative figures ($ millions) for both NIKE and Reebok follow:



Key comparative figures ($ millions) for both NIKE and Reebok


Required:
a. Compute common-size percents for both companies using the data provided.
b. Which company incurs a higher percent of their revenues (net sales) in income taxes?
c. Which company retains a higher portion of cumulative net income in the company?
d. Which company has a higher gross margin ratio on sales?
e. Which company holds a higher percent of its total assets asinventory?

Key Figures NIKE Reebok Key Figures NIKE Reebok Cash and equivalents$108.6 S209.8 Incometaxes$253.4 Accounts receivable $2534 125 12.5 1,674.4 5617 Revnues (Nike) . ..9,553.1 Inventories.. Retained earnings Costs of sales 1,396.6 563.7 3,043.4 1,145.3 Total assets Nt sales (Reebok) 3,643.6 5,397.4 1,756.1 6,0655 2294.0

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