AA 12-1 Company Analysis LO A1 Use Apple's financial statements in Appendix A to answer the following. Required: 1. Is Apple's statement of cash flows prepared under the direct method or the indirect method? 2. For each fiscal year 2017, 2016, and 2015, identify the amount of cash provided by operating activities and cash paid for dividends 3. In 2017, did Apple have sufficient cash flows from operations to pay dividends? 4. Did Apple spend more or less cash to repurchase common stock in 2017 versus 2016? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 For each fiscal year 2017, 2016, and 2015, identify the amount of cash provided by operating activities and cash paid for dividends. (Enter your answers in millions of dollars.) 2017 2016 2015 $ millions Cash provided by operating activities Cash dividends paid Required 1 Required 3 > APPL September 24, 2016 Apple Inc. CONSOLIDATED BALANCE SHEETS (In millions, except number of shares which are reflected in thousands and par value) September 30, 2017 ASSETS Current assets Cash and cash equivalents 20.289 Short-term marketable securities 53,892 Accounts receivable, less allowances of $58 and $53, respectively 17,874 Inve Nories 4,855 Vendor non-trade receivables 17.799 Other current assets 13,936 Total current assets 128,645 Long-term marketable securities 194,714 Property, plant and equipment, net 33,783 Goodwill 5,717 Acquired intangible assets, net 2.298 Other non-current assets 10,162 Total assets 375,319 20.484 46,671 15,754 2,132 13.545 8,283 106,869 170,430 27.010 5,414 3,206 8.757 321.686 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities Accounts payable Accrued expenses Deferred revenue Commercial paper Current portion of long-term debt Total current liabilities Deferred revenue, non-current Long-term debt Other non-current liabilities Total liabilities Commitments and contingencies Shareholders' equity Common stock and additional paid in capital, $0.00001 par value: 12.600.000 shares authorized: 5.126,201 and 5,336,166 shares issued and outstanding, respectively Retained earnings Accumulated other comprehensive income closs) Total shareholders' equity Total liabilities and shareholders' equity See accompanying Notes to Consolidated Financial Statements 49.049 25.744 7.548 11,977 6,496 100,814 2.836 97207 40415 241,272 37.294 22,027 8,080 8,105 3.500 79,006 2.930 75,427 36,074 193,437 31.251 96.164 35.867 9110 (ISO) 114.047 2249 121.686 375319 AA 12-1 Company Analysis LO A1 Use Apple's financial statements in Appendix A to answer the following. Required: 1. Is Apple's statement of cash flows prepared under the direct method or the indirect method? 2. For each fiscal year 2017, 2016, and 2015, identify the amount of cash provided by operating activities and cash paid for dividends 3. In 2017, did Apple have sufficient cash flows from operations to pay dividends? 4. Did Apple spend more or less cash to repurchase common stock in 2017 versus 2016? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 For each fiscal year 2017, 2016, and 2015, identify the amount of cash provided by operating activities and cash paid for dividends. (Enter your answers in millions of dollars.) 2017 2016 2015 $ millions Cash provided by operating activities Cash dividends paid Required 1 Required 3 > APPL September 24, 2016 Apple Inc. CONSOLIDATED BALANCE SHEETS (In millions, except number of shares which are reflected in thousands and par value) September 30, 2017 ASSETS Current assets Cash and cash equivalents 20.289 Short-term marketable securities 53,892 Accounts receivable, less allowances of $58 and $53, respectively 17,874 Inve Nories 4,855 Vendor non-trade receivables 17.799 Other current assets 13,936 Total current assets 128,645 Long-term marketable securities 194,714 Property, plant and equipment, net 33,783 Goodwill 5,717 Acquired intangible assets, net 2.298 Other non-current assets 10,162 Total assets 375,319 20.484 46,671 15,754 2,132 13.545 8,283 106,869 170,430 27.010 5,414 3,206 8.757 321.686 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities Accounts payable Accrued expenses Deferred revenue Commercial paper Current portion of long-term debt Total current liabilities Deferred revenue, non-current Long-term debt Other non-current liabilities Total liabilities Commitments and contingencies Shareholders' equity Common stock and additional paid in capital, $0.00001 par value: 12.600.000 shares authorized: 5.126,201 and 5,336,166 shares issued and outstanding, respectively Retained earnings Accumulated other comprehensive income closs) Total shareholders' equity Total liabilities and shareholders' equity See accompanying Notes to Consolidated Financial Statements 49.049 25.744 7.548 11,977 6,496 100,814 2.836 97207 40415 241,272 37.294 22,027 8,080 8,105 3.500 79,006 2.930 75,427 36,074 193,437 31.251 96.164 35.867 9110 (ISO) 114.047 2249 121.686 375319