Calculate the net profit margin for each year

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Problem - In your position as research assistant to a portfolio manager, you need to analyze the profitability of the companies in the portfolio. Using the data for Oracle Corporation (NASDAQ: ORCL) below:

Fiscal Year

2019

2018

2017

2016

2015

Total Revenue

39,506

39,831

37,728

37,047

38,226

Net Income

11,083

3,825

9,335

8,901

9,938

Required -

a. Calculate the net profit margin for each year.

b. Calculate the compound average annual growth rates (CAGR) for revenue and net income using the Geomean function. Is net income growing more slowly or faster than total revenue? Is this a positive for your investment in the company?

c. Calculate the average annual growth rate of total revenue using the Average function. Is this result more or less accurate than your result in the previous question? Why?

d. Create a Column chart of total revenue and net income. Be sure to change the chart so that the x-axis labels contain the year numbers, and format the axis so that 2019 is on the far right side of the axis.

Reference no: EM132712356

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