Friday, November 19, 2010

Financial Statement Analysis

List the "Total Revenue or Net Sales," "Total Expenses," and "Net Income" or "Net Loss" for each company.
walmart(millions)
     > net sales $112,826
     >total expenses $85,311
     >net income $27,515
walmart information link
Target (millions)
     > net sales $63,435
     >total expenses $44,062
     >net income $65,357
target information link

For each company, calculate and record the component percentages for total expenses and net income by dividing each item by the amount of net sales.  round the percentage calculations to the nearest 0.1%
Walmart
     > total expenses  75.6%
     > net income 24.4%
Target
     >total expenses 69.5%
     >net income 103%

Compare the component percentages for net income for each company.  Which company has the better component percentage.
Target has a better componet percentage because they had over a 100 percent increase in their income.

     

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