Finance

Paige Brown
Unit 2 Individual Project

1)The year- to year percentage annual growth in net sales for Micro Chip Computer Corporation was done in the following manner:
The sales numbers are in millions.

2004- 2003 = 8,334-6,141 = 2,193  =     .35710796 = 35.7%
    2003               6,141          6,141   

2003- 2002 = 6,141-9,181  =  3040 =    - .331186145 = - 33.1%
   2002                9,181            9,181

2002- 2001 =  9,181- 11,933 =  2752  = -.2206209671 = - 22.06%
    2001                   11,933       11,933

2001- 2000=  11,933- 11,062 =   871  = .0787380221 = 7.8%
      2000                11,062          11,062
2) Do I think the company will hit its sales goal of +10 % annual revenue growth in 2005?
No I do not.
The following is how I came to this conclusion.
10% annual growth of 8,334,000 is times .10= 833,400. $8,33400 + 833,400=
These numbers added together give a target revenue for 2005 of  $9,167,400.

To find the average % annual growth I added all of the percentages together while they were still in decimal form and then divided them by fou ...
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