Problem:
The following historical data were derived from Gateway, Inc.'s consolidated financial statements. (It should be noted that past data are not necessarily indicative of the results of future operations.)
|
|
1995
|
1996
|
1997
|
1998
|
1999
|
|
Net Sales
|
3,676,328
|
5,035,228
|
6,293,680
|
7,467,925
|
8,645,561
|
|
Net Income
|
172,981
|
250,679
|
109,797
|
346,399
|
427,944
|
|
Total Assets
|
1,124,011
|
1,673,411
|
2,039,271
|
2,890,380
|
3,954,688
|
|
Long Term Obligations net of current maturties
|
10,805
|
7,244
|
7,240
|
3,360
|
2,998
|
Q1. Are the trends expressed in the above data generally consistent with each other?
Q2. In your opinion, which of the above trends would be most meaningful to a potential investor in common stock of Gateway, Inc.? Which trend would be least meaningful?
Q3. What other data (trend or otherwise) would you like to have access to prior to making an investment in Gateway, Inc.?