I.

Expense control:
a.

Hasbro 2015 Hasbro2016 Mattel 2016

COGS/net sales 37.71% 37.96% 53.19%

Table 1: COGS

Based on the table above, COGS/Net sales has increased from 2015 to 2016 due to the increase
of the COGS by 13.62% dominating the increase of net sales by 12.87%. This increase shows
that the HASBRO company will be less profitable. But it is still preforming well since in 2016 its
ratio is lower than its competitor Mattel.

b.

Hasbro 2015 Hasbro2016 Mattel 2016

S,G&A/net sales 21.60% 22.13% 25.66%

Table2: S,G &A Expense

Selling, General and administrative expenses
The sum of these expenses has increased by 15.61%, dominating the increase of net sales.
Hence this ratio has increased by 2.45% it shows weakness in the expense control but it is still
better than its competitor which has a higher ratio.