Using the Following Information from an Annual Report, Prepare a Vertical

question 25

Essay

Using the following information from an annual report, prepare a vertical analysis of the consolidated statement of earnings for the fiscal year ended June 30, 20xx. (Round percentage answers to one decimal place.)
$\begin{array}{l}\begin{array}{l}\\\text{Net sales}\\\text{Cost of sales}\\\text{Grossmargin}\\\text{Selling, general, and administrative expenses}\\\text{Depreciation, amontization, and assetwrite-offs}\\\text{Total operating expenses}\\\text{Income from operations}\\\text{Interest expense}\\\text{Interest and other income}\\\text{Earnings before income taxes}\\\text{Income taxes}\\\text{Net earring}\end{array}\begin{array}{r}\text { (In millions) } \\\$ 11,862 \\8,321 \\\hline \$ 3,541 \\\hline \$ 2,743 \\ 278 \\\hline \$ 3,021 \\\hline \$ \quad 520 \\(91) \\ \quad 11 \\\hline \$ 440 \\\quad 161 \\\hline \$ 279\end{array}\end{array}$

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Definitions:

Payment

The act of giving money or other compensation to settle a transaction or obligation.

Fund

A collection of money set aside for a specific purpose or invested to generate income.

Exist

To have actual being or reality.

Value

The importance, worth, or usefulness of something.