Amazon.com, Inc.'s financial statements are presented in Appendix D. Financial statements of Wal-Mart Stores, Inc. are presented

Question:

Amazon.com, Inc.'s financial statements are presented in Appendix D. Financial statements of Wal-Mart Stores, Inc. are presented in Appendix E. The complete annual reports of Amazon and Wal-Mart, including the notes to the financial statements, are available at each company's respective website.


Instructions

a. Based on the information contained in these financial statements, determine each of the following for each company.

1. The percentage increase (decrease) in 

(i) Net sales.

(ii) Net income from 2014 to 2015.

2. The percentage increase in

(i) Total assets.

(ii) Total common stockholders' (shareholders') equity from 2014 to 2015.

3. The basic earnings per share and price-earnings ratio for 2015. (For both Amazon and Wal-Mart, use the basic earnings per share.) Amazon's common stock had a market price of $398.79 at the end of fiscal-year 2015, and Wal-Mart's common stock had a market price of $74.68.

b. What conclusions concerning the two companies can be drawn from these data?

Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial...
Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on...
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Related Book For  answer-question

Financial and Managerial Accounting

ISBN: 978-1119392132

3rd edition

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

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