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How do prepare a common-size income statement given the highlighted information? What are the steps...

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Accounting

How do prepare a common-size income statement given the highlighted information? What are the steps to create this kind of common size balance sheet?(In millions, except per share data) 2021 2020 2019 Net revenue $ 5,629 $ 5,537 $ 4,950 Cost of revenue 1,494 1,369 1,322 Gross profit 4,135 4,168 3,628 Operating expenses: Research and development 1,778 1,559 1,433 Marketing and sales 689 631 702 General and administrative 592 506 460 Acquisition-related contingent consideration 5 14 Amortization of intangibles 30 22 23 Total operating expenses 3,089 2,723 2,632 Operating income 1,046 1,445 996 Interest and other income (expense), net (29) 63 83 Income before provision for (benefit from) income taxes 1,017 1,508 1,079 Provision for (benefit from) income taxes 180 (1,531) 60 Net income $ 837 $ 3,039 $ 1,019 Earnings per share: Basic $ 2.90 $ 10.37 $ 3.36 Diluted $ 2.87 $ 10.30 $ 3.33 Number of shares used in computation: Basic 289 293 303 Diluted

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