Apple and Google use historical sales growth rates in estimating future sales. Data below are for one product segment for each company (Apple: iPhone; and Google: Apps, Hardware, and Cloud services).

Required
1. Compute the sales growth rate for each company’s product segment. Which company’s product segment grew at a faster rate?
2. Assume the sales growth rates computed in part 1 are expected to continue into the current year. Compute estimated sales for each company’s product segment.

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Apple, 1 Year Prior Apple, Google, Google, Sales ($ millions) 2 Years Prior Sales ($ millions) 1 Year Prior 2 Years Prior iPhone...... $164,688 $149,337 Apps, Hardware, and Cloud... $19,906 $15,503