1. Calculate Apples rate of return on operating assets for fiscal year 2017. (See page 407 in your textbook for the formula for this ratio.) For the purposes of this assignment, use the amounts labeled Total assets on the consolidated balance sheets as the amounts for operating assets. Also, use the amount labeled Operating income on the consolidated income statements as the amounts for net operating income. What does this ratio attempt to measure? How might an investor use this information?

2. Calculate Apples total assets turnover for fiscal year 2017. (See page 442 in your textbook for the formula for this ratio.) What does this ratio attempt to measure? How might an investor use this information?

Income Statement:

Item 6. Selected Financial Data The information set forth below for the five years ended September 30, 2017, is not necessarily indicative of results of future operations, and should be read in conjunction with Part tem 7, "Management's Discussion and Analysis of Financial Condition and Results of Operations" and the consolidated financial statements and related notes thereto included in Part II, Item 8 of this Form 10-K to fully understand factors that may affect the comparability of the information presented below (in millions, except number of shares, which are reflected in thousands, and per share amounts) 2017 2016 2015 2014 2013 Net sales 229,234 $ 48,351 $ 215,639 233,715 $182,795 $170,910 37,037 Net income 45,687 $ 53,394 $ 39,510 $ Earnings per share Basic 9.27$ 9.21 $ 8.35 $ 8.31 $ 9.28 S 9.22 $ 6.49 $ 6.45 $ 5.72 5.68 Diluted Cash dividends declared per share 2.40 $ 2.18 $ 1.98 S 1.82 $ 1.64 Shares used in computing earnings per share Basic Diluted 5,217,242 5,251,692 5,470,820 5,500,281 5,753,421 5,793,069 6,085,572 6,122,663 6,477,320 6,521,634 Total cash, cash equivalents and marketable securities Total assets Commercial paper Total term debt (1) Other long-term obligations (2) Total liabilities Total shareholders' equity 268,895 $ 375,319 $ 11,977 $ 103,703 $ 40,415 $ 241,272 $ 134,047 $ 237,585 $ 205,666 $ 155,239 $ 146,761 321,686 $290,345 $231,839 $207,000 6,308 $ 28,987 $ 24,826 $ 93,437$170,990 120,292 $ 16,960 20,208 83,451 128,249 $119,355 $ 111,547 $123,549 8,105 $ 78,927 $ 36,074 S 8,499 $ 55,829 S 33,427 $ (1) (2) Includes current and long-term portion of term debt. Excludes non-current deferred revenue