Question: For this Project, you will complete a presentation based on the following research you will conduct on a firm s gross profit margin, operating income

For this Project, you will complete a presentation based on the following research you will conduct on a firm

s gross profit margin, operating income margin, and net income margin. Use Microsoft PowerPoint for your presentation.

Go to Yahoo! Finance

(

Links to an external site.

)

and choose a company that you wish to analyze. Enter the company name in the box to the left of "Get Quotes" near the top left of the page. Once you have the company overview page open, to the left you will see a list of links for further information on that firm. Near the bottom of the link column are financial statements. Open the firm's income statement; this is the firm's most recently reported annual income statement. You should see three years of data in almost all cases. If you do not, choose another firm. The dates of the income statement will vary by company since companies may or may not have a fiscal year end of December

31 .

Using the income statement you found, compute your chosen firm

s gross profit margin, operating income margin, and net income margin

(

using the equations found in the textbook

)

for the past three years. Include the numerator and denominator for each ratio. After you report the ratios, please discuss the economic interpretation of your results. Do not duplicate firms; if someone else has reported on a firm, you may not use that firm for this assignment. To eliminate duplication of firms, please indicate your firm choice in the title of your post.

Project Requirements

Your presentation must consist of

6

10

slides that are clear, legible and address the following:

You must include a title slide in addition to the six to Ten slides. The title page must include:

1 .

The title of the project

2 .

Your Name

3 .

Name of your school

4 .

Professor

`

s Name

5 .

Date

Each slide will include a bulleted list highlighting important aspects of your research.

Sample Income Statement

Here is a sample Income Statement from Nike

Income Statement for Nike

Breakdown

5 / 31 / 2022 5 / 31 / 2021 5 / 31 / 2020

Total Revenue

46, 710, 000 44, 538, 000 37, 403, 000

Cost of Revenue

25, 231, 000 24, 576, 000 21, 162, 000

Gross Profit

21, 479, 000 19, 962, 000 16, 241, 000

Operating Expense

14, 804, 000 13, 025, 000 13, 126, 000

Operating Income

6, 675, 000 6, 937, 000 3, 115, 000

Net Non Operating

- 205, 000 - 262, 000 - 89, 000

Interest Income Expense

Other Income Expense

181, 000 - 14, 000 - 139, 000

Pretax Income

6, 651, 000 6, 661, 000 2, 887, 000

Tax Provision

605, 000 934, 000 348, 000

Net Income

6, 046, 000 5, 727, 000 2, 539, 000

Common Stockholders

6, 046, 000 5, 727, 000 2, 539, 000

Diluted NI Available

to Com Stockholders

6, 046, 000 5, 727, 000 2, 539, 000

Basic EPS

3.83 3.64 1.63

Diluted EPS

3.75 3.56 1.60

Basic Average Shares

1, 578, 800 1, 573, 000 1, 558, 800

Diluted Average Shares

1, 610, 800 1, 609, 400 1, 591, 600

Total Expenses

40, 035, 000 37, 601, 000 34, 288, 000

Net Income from

6, 046, 000 5, 727, 000 2, 539, 000

Continuing &

Discontinued

Operation

6, 046, 000 5, 727, 000 2, 539, 000

Normalized Income

6, 046, 000 5, 727, 000 2, 539, 000

Net Interest Income

- 205, 000 - 262, 000 - 89, 000

EBIT

6, 675, 000 6, 937, 00 3, 115, 000

EBITDA

- - -

Reconciled Cost

25, 231, 000 24, 576, 000 21, 162, 000

of Revenue

Reconciled

840, 000 797, 000 1, 119, 000

Depreciation

Net Income from

6, 046, 000 5, 727, 000 2, 539, 000

Continuing

Operation Net

Minority Interest

Normalized EBITDA

7, 515, 000 7, 734, 000 4, 234, 000

Tax Rate for Calcs

0 0 0

Tax Effect of Unusual Items

0 0 0

Gross Profit Margin:

5 / 31 / 2022

(21, 479, 000 /

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