Background:

Amazon is a global e-commerce and technology giant known for its diverse range of products and services, including online retail, cloud computing, digital streaming, and artificial intelligence. In this case study, we will explore Amazon's financial statements to gain insights into its financial performance.

Questions:

Income Statement Analysis:

Review Amazon's income statement for the most recent fiscal year.

What is the company's total revenue, operating income, and net income?

How do these figures compare to the previous year?

Balance Sheet Examination:

Analyze Amazon's balance sheet.

What are the total assets, total liabilities, and shareholders' equity?

How has Amazon's total assets changed over the past year?

Cash Flow Assessment:

Evaluate Amazon's cash flow statement.

What is the net cash provided by operating activities for the year?

How does Amazon utilize its cash for investing and financing activities?

Profitability Ratios:

Calculate Amazon's profitability ratios, including the Gross Profit Margin, Operating Profit Margin, and Net Profit Margin.

Interpret what these ratios indicate about the company's profitability.

Liquidity Analysis:

Compute Amazon's current ratio and quick ratio using the information from the balance sheet. What do these ratios reveal about the company's liquidity and ability to meet short-term obligations?

Debt Management:

Assess Amazon's debt management by calculating the Debt-to-Equity Ratio.

What does this ratio suggest about Amazon's leverage and financial risk?

Investor Relations:

Investigate Amazon's earnings per share (EPS) for the year.

How might this metric influence investors' decisions to buy or sell Amazon's stock?