"> (Answered) General Motors Co. - Tutorials Prime

Question Details

(Answered) General Motors Co.


General Motors Co.


Income Statement Analysis 1. Does the company present the income statement in a multi- or single-step format? A single- step format shows revenues – expenses. The multi-step format presents subtotals such as sales-cost of goods sold = gross profit – operating expenses = operating income, etc. 2. Prepare a common-size income statement for the current year and past year. A common size income statement shows each element of income as a percentage of sales (refer to handouts and readings from our discussion of financial statement analysis). Using excel makes quick work of the necessary calculations. 3. What is General Motor's core operation(s)? Was General Motor's Company successful at its core operations? Was the company’s overall profitability (or loss) a result of its core operations or other gains and losses reported in income? Provide evidence from the income statement and common-size statements to support your conclusion. 4. Discuss revenues/expenses, gains/losses in the income statement that an analyst might consider as transitory (i.e. expected to not reoccur in future). These are items analysts will consider removing from income before using income as a proxy for future expected cash flows in stock valuation models. Statement of Comprehensive Income 5. Review the Statement of Comprehensive Income. List the items reported in your company’s statement. What do all the gains and losses reported in this statement have in common? (Do you recognize one of the gains/losses from our discussion of investments?) 6. Why does the bottom line number in the statement of comprehensive income differ from the amount reported in stockholder’s equity section of the balance sheet? Statement of Stockholders’ Equity 7. Review the statement of stockholders’ equity. Besides income and comprehensive income, briefly describe other transactions or events that affected your company’s stockholders’ equity. General Motors Co.

 

Common-Size Income Statement

 

12 months ended

 

Dec 31, 2016

 

Dec 31, 2016

 

Dec 31, 2015

 

Automotive sales and revenue

 

156,849

 

100.00%

 

145,922

 

Automotive cost of sales

 

-136,333

 

-86.92%

 

-128,321

 

Automotive gross margin

 

20,516

 

13.08%

 

17,601

 

GM Financial revenue

 

9,531

 

6.08%

 

6,434

 

-8,792

 

-5.61%

 

-5,733

 

-11,710

 

-7.47%

 

-13,405

 

Goodwill impairment charges

 

–

 

–

 

–

 

Operating income (loss)

 

9,545

 

6.09%

 

4,897

 

Automotive interest expense

 

-572

 

-0.36%

 

-443

 

Interest income

 

185

 

0.12%

 

169

 

3

 

0.00%

 

297

 

Deferred income from technology agreements

 

–

 

–

 

–

 

Other

 

241

 

0.15%

 

155

 

429

 

0.27%

 

621

 

Gain (loss) on extinguishment of debt

 

–

 

–

 

449

 

Equity income

 

2,282

 

1.45%

 

2,194

 

Income (loss) before income taxes

 

11,684

 

7.45%

 

7,718

 

Income tax (expense) benefit

 

-2,416

 

-1.54%

 

1,897

 

Net income

 

9,268

 

5.91%

 

9,615

 

159

 

0.10%

 

72

 

Net income attributable to stockholders

 

9,427

 

6.01%

 

9,687

 

–

 

–

 

–

 

9,427

 

6.01%

 

9,687

 

GM Financial interest, operating and other

 

expenses

 

Automotive selling, general and administrative

 

expense

 

Foreign currency transaction and re-measurement

 

gains (losses)

 

Interest income and other non-operating

 

income, net

 

Net (income) loss attributable to non-controlling

 

interests

 

Cumulative dividends on preferred stock and

 

charge related to redemption and purchase of

 

preferred stock

 

Net income attributable to common

 

stockholders

 


Solution details:

Pay using PayPal (No PayPal account Required) or your credit card . All your purchases are securely protected by .
SiteLock

About this Question

STATUS

Answered

QUALITY

Approved

DATE ANSWERED

Jan 02, 2020

EXPERT

Tutor

ANSWER RATING

YES, THIS IS LEGAL

We have top-notch tutors who can do your essay/homework for you at a reasonable cost and then you can simply use that essay as a template to build your own arguments.

You can also use these solutions:

  • As a reference for in-depth understanding of the subject.
  • As a source of ideas / reasoning for your own research (if properly referenced)
  • For editing and paraphrasing (check your institution's definition of plagiarism and recommended paraphrase).
This we believe is a better way of understanding a problem and makes use of the efficiency of time of the student.

NEW ASSIGNMENT HELP?

Order New Solution. Quick Turnaround

Click on the button below in order to Order for a New, Original and High-Quality Essay Solutions. New orders are original solutions and precise to your writing instruction requirements. Place a New Order using the button below.

WE GUARANTEE, THAT YOUR PAPER WILL BE WRITTEN FROM SCRATCH AND WITHIN A DEADLINE.

Order Now
WP2Social Auto Publish Powered By : XYZScripts.com