Calculate the gross profit ratio, operating margin ratio, and net income margin ratio for the latest two years, and obtain the industry average ratios (if available) from IBISWorld. Analyze these...

Running Head: CORPORATE FINANCE                            1
CORPORATE FINANCE         4
CORPORATE FINANCE
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1.
Gross Profit
It depicts the profit that company makes after deducting the cost related to the manufacturing and selling the product. As mentioned by Irawan and Sitohang (2018), the gross profit of the company appears in the income statement.
Gross profit of Adobe Inc. for the year 2018
Gross profit ratio = gross profit/Net sales
Gross profit = $ 7,835,009 / $ 9,338,790
=0.8389 or 83.8%
Gross profit of Adobe Inc. for the year 2019
Gross profit ratio = gross profit/Net sales
Gross profit = $ 6,291,014 / $ 7,835,009
= 0.8029 or 80%
Operating margin ratio for the year 2018
Operating margin ratio = operating profit / total...