1: What are the differences between absorption income and contribution margin income statements?

Part 1:Step 1: Select a company from the Fortune 500 list below: http://fortune.com/fortune500/Step 2: The company you selected has to be approved by the Professor. Each student has to select a different company.Step 3: From the Income Statement and Balance Sheets of the company you have selected, prepare the following:A horizontal analysis of income statement and balance sheet using the oldest year as the base year.
Prepare a vertical analysis of the income statement and balance sheet for the latest year reported.
Calculate the following ratios for the latest year and indicate whether the ratio is a liquidity, solvency, pr profitability ratio.
Asset turnover ratio.
Receivables turnover ratio.
Average collection period.
Current ratio.
Debt to total asset ratio.
Earnings per share.
Profit margin rate.
Return on asset ratio.
Return on common stockholders equity ratio.
Comment on your findings based on the ratios and the information given in the annual report (800 words).
How are these income statements used? (Limit: 800 words)Question 2: What is break-even point? How do managers use margin of safety for decision-making? (Limit: 800 words).