For this assignment, read the attached IBM Case Update. Use the financial statement to:
- Decompose IBM’s ROE and discuss the factors (and trends) that contribute to Big Blue’s profitability.
- Evaluate IBM’s revenue growth, receivables, and gross margins over the period (be sure to control for seasonality in your evaluation).
- Evaluate IBM’s earnings per Share (basic), and identify the factors most responsible for the increase in IBM’s earnings.
Write your analysis on a Word document.