Refer to Amazon.com, Inc.’s consolidated financial statements in Appendix A.
1. Did accounts payable for Amazon.com, Inc., increase or decrease in 2012? What was the amount? What might have caused this change?
2. Examine Note 11 Income Taxes in the Notes to Consolidated Financial Statements.
Income tax provision is another title for income tax expense. What was Amazon.com, Inc.s income tax provision in 2012? How much did the company pay in federal income taxes? How much was income taxes payable as of December 31, 2008? In general, why were these amounts different? (Challenge)
3. Did Amazon.com, Inc., borrow more or pay off more long-term debt during 2012? How can you tell? (Challenge)
4. Examine Note 7 Commitments and Contingencies in the Notes to Consolidated Financial Statements. Describe some of Amazon.com, Inc.’s contingent liabilities
 as of December 31, 2012.
5. How would you rate Amazon.com, Inc.’s overall debt position risky, safe, or average? Compute the ratio at December 31, 2012, that answers this question.

6. How much did the company pay in federal income taxes In general why were these amounts different What was the company's marginal tax rate in 2012. Why?

Answer rating: 100% (QA)

1 Accounts payable represent the amount of money that a company owes to its suppliers for goods and services that have been received but not yet paid for A decrease in accounts payable can be caused b... View the full answer