Using the following information taken from the hypothetical 2011 balance sheet and 2010 income statement for Loblaw Companies Ltd., develop a strategic profit model. (Figures are in $000.) You can access an Excel spreadsheet for SPM calculations on the student side of the book’s Web site.
Net sales ………………………….$31,250
Cost of goods sold ………………. 23,894
Operating expenses ……………… 5,972
Interest expenses ………………… 0
Inventory ………………………… 2,025
Accounts receivable …………….. 2,568
Other current assets ……………… 6,462
Total Assets ……………………… 17,428