Income Statements and Balance Sheets
- What can we learn from an income statement?
- What are some differences between an income statement and balance sheet?
- What can we learn from a balance sheet?
- Please be sure to properly reference your answer.
Profit Margin
Select a company to analyze. Find the company’s income statement on Yahoo! Finance (http://finance.yahoo.com/). Using Excel calculate the (1) gross profit margin ratio, (2) operating profit margin ratio and (3) the net profit margin ratio.
- What can you learn about the company using these 3 metrics?
Please attach your spreadsheet with your response.
ARTICLE
The following article (Peterson, 2015) discusses the cost to open a franchise. Take a look at the article and let me know what you think (not about the quality of food but the business side of opening a franchised restaurant).
- Which of the skills that we have talked about in this class would be important to know/use if opening a store?
- Which franchise would your select to open (from a financial perspective not a food perspective)?
http://www.businessinsider.com/how-much-it-costs-t…
Peterson, Hayley (May 22, 2015). Here’s how much it costs to open a Papa John’s restaurant. Retrieved from http://businessinsider.com.
FACEBOOK ARTICLE
this article (Nudelman and Loudenback, 2016) showed upon on my Facebook. It presents how much money you need to save each year to be a millionaire by the age of 65. I thought it did a great job of emphasizing the power of the time value of money which we talked about in Week 4.
http://www.businessinsider.com/build-a-million-dol…
It assumes that you do not start with any money, does not consider taxes and a 12% return.
- What are your Thoughts? Issues?
