1. Using Excel, compute common-size income statements for the latest three fiscal years. In common-size income statements, net sales are 100 percent and every other number is a percentage of sales.

2. Using Excel, compute common-size balance sheets for the latest two fiscal years. In common-size balance sheets, total assets are 100 percent and every other number is a percentage of total assets.

12 Months Ended Common-Size Income Statement INCOME STATEMENTS - USD ($) shares in Millions, $ in Millions Jun 30, 2018 Jun. 30, 2017 Jun 30, 2016 Jun. 30, 2018 Jun. 30, 2017 Jun 30, 2016 $ 110,360 38,353 72,007 14,726 17,469 4,754 3 Revenue 4 Cost of revenue 5 Gross margin 6 Research and development 7 Sales and marketing 8 General and administrative 9 Impairment and restructuring 10 Operating income 11 Other income (expense), net 12 Income before income taxes 13 Provision for income taxes 14 Net income 15 Earnings per share: 16 Basic 17 Diluted 18 Weighted average shares outstanding: 19 Basic $ 96,571 [1] 34,261 62,310 [1] 13,037 15,461 4,481 306 29,025 [1],[2] 876 29,901 4,412 $ 25,489 [1],[2] $ 91,154 32,780 58,374 11,988 14,635 4,563 1,110 26,078 (439) 25,639 5,100 $ 20,539 35,058 1,416 36,474 19,903 $ 16,571 [3] $ 2.15 $ 2.13 [4] $3.29 [1] $3.25 [1],[2] $ 2.59 $ 2.56 7.700 7.746 7.925 C B 7,700 7,794 $ 1.68 7,746 7,832 $ 1.56 7,925 8,013 $ 1.44 19 Basic 20 Diluted 21 Cash dividends declared per common share 22 Product 23 Revenue 24 Cost of revenue 25 Service and Other 26 Revenue 27 Cost of revenue $ 64,497 15,420 $ 63,811 15,175 $ 67,336 17,880 45,863 $ 22,933 32,760 $ 19,086 23,818 $ 14,900 28 29 [1] 30 [2] 31 [3] 32 [4] On December 8, 2016, we acquired LinkedIn Corporation. Includes $306 million of employee severance expenses Reflects the net charge (benefit) related to the TCJA of $13.8 Reflects the net charge (benefit) related to the TCJA, which 1 Jun. 30, 2018 Jun. 30, 2017 BALANCE SHEETS - USD ($) $ in Millions 2 Current assets: 3 Cash and cash equivalents 4 Short-term investments 5 Total cash, cash equivalents, and short-term investments 6 Accounts receivable, net of allowance for doubtful accounts of $377 and $345 7 Inventories 8 Other 9 Total current assets 10 Property and equipment, net of accumulated depreciation of $29,223 and $24,179 11 Operating lease right-of-use assets 12 Equity and other investments 13 Goodwill 14 Intangible assets, net 15 Other long-term assets 16 Total assets 17 Current liabilities: 18 Accounts payable 19 Short-term debt 20 Current portion of long-term debt 21 Accrued compensation $ 11,946 121,822 133,768 26,481 2,662 6,751 169,662 29,460 6,686 1,862 35,683 8,053 7,442 258,848 $ 7,663 125,318 132,981 22,431 2,181 5,103 162,696 23,734 6,555 6,023 35,122 10,106 6,076 250,312 8,617 7,390 9,072 1,049 5.819 3,998 6.103 20 Current portion of long-term debt 21 Accrued compensation 22 Short-term income taxes 23 Short-term unearned revenue 24 Other 25 Total current liabilities 26 Long-term debt 27 Long-term income taxes 28 Long-term unearned revenue 29 Deferred income taxes 30 Operating lease liabilities 31 Other long-term liabilities 32 Total liabilities 33 Commitments and contingencies 34 Stockholders' equity: 35 Common stock and paid-in capital - shares authorized 24,000; outstanding 7,677 and 7,708 36 Retained earnings 37 Accumulated other comprehensive income (loss) 38 Total stockholders' equity 39 Total liabilities and stockholders' equity 3,998 6,103 2,121 28,905 8,744 58,488 72,242 30,265 3,815 541 5,568 5,211 176,130 1,049 5,819 718 24,013 7,684 55,745 76,073 13,485 2,643 5,734 5,372 3,549 162,601 71,223 13,682 (2,187) 82,718 $ 258,848 69,315 17,769 627 87,711 $ 250,312