Question 1,2,3 plz
Extracted text: UBER TECHNOLOGIES, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In millions, except share amounts which are reflected in thousands, and per share amounts) (Unaudited) Three Months Ended December 31, Year Ended December 31, 2021 2020 2021 2020 3,165 $ 5,778 $ 11,139 $ 17,455 Revenue Costs and expenses Cost of revenue, exclusive of depreciation and amortization shown separately below Operations and support Sales and marketing Research and development General and administrative Depreciation and amortization Total costs and expenses Loss from operations Interest expense Other income (expense), net Income (loss) before income taxes and loss from equity method inyestments Provision for (benefit from) 1,441 3,104 5,154 9,351 369 547 1,819 1,877 1,038 1,262 3,583 4,789 483 558 2,205 2,054 531 611 2,666 2,316 180 246 575 902 4,042 6,328 16,002 21,289 (877) "(118) 63 (550) (4,863) (3,834) (130) (458) (483) 1,471 (1,625) 3,292 (932) 791 (6,946) (1,025) income taxes 23 (97) (192) Loss from equity method investments (492) Net income (loss) including (7) (9) (34) (37) non-controlling interests (962) 879 (6 788) Less: net income (loss) %24
Extracted text: Recently, Uber released its financial statements for the year ended Dec 31 2021 (Appendix A). Uber showed a loss of $570 million on sales of 17.455 billion. Some analysts are quick to blame Covid-19 for this loss, but others pointed to bigger long-term issues and reminded investors that Uber has consistently lost money over the past few years, and generated a loss of $8.5 billion on sales of 13.0 billion in 2019 (a year before Covid, also known as the- before-times). For simplicity purposed, assume the following cost structure: Cost of Revenues and Operations & Support expenses are all variable Sales and Marketing , R+D, General + Administrative, and Depreciation + Amortization expenses are all fixed. Interest Expense, Other income (expense), and tax and loss from equity method can be ignored for this analysis 1. Based on the financial information in Appendix A, how much would revenues have to have been in 2021 in order for Uber to break even? 2. What level of Revenue would Uber need to have reached in 2021 to make a profit of $2 billion. 3. What percentage increase would Contribution Margin need to increase in order for Uber to break-even on Revenues of $19 billion (assuming that fixed costs do not change)?