This question of the report basically deals with the year to year annual percentage growth in Micro Chip Computer Corporation's net sales.
2004
2005
2006
2007
2008
Actual Net Sales
$11062
$11933
$9181
$6141
$8334
Calculation of Growth %
-
11933/11062
x100
9181/11933
x100
6141/9181
x100
8334/6141
x100
Growth Percentage
-
7.87%
-23.06%
-33.11%
35.71%
The chart above shows the year to year growth percentage for Micro Chip Computer Corporation. It can be seen that in order to calculate it, the annual sales of the succeeding year is divided by the annual sales of preceding year.
Question 2
In this question of the report, we will be incorporating the research done in question 1 which will enable us to further analyze that whether the Micro Chip Computer corporation achieved it's set sales target of 10% sales growth every year. In order to do that, this section of the report will also include the target revenue figures which will be taken into consideration while incorporating the change in sale or in other word the growth percentage rate of 10%.
Iit can be observed that the Micro Chip Computer Corporation has a growth rate of 7.87%, -23.06%, -33.11% and 35.71% during the years 2005, 2006, 2007 and 2008. Considering the above mentioned figures, it can be seen that company, as compared to the preceding year, has achieved a sales growth percentage of 35.71%, which shows a very good financial performance, However if we look at the data closely, we will come to know that it is not that good as how we see it.