Question
Apple Inc. (AAPL) designs, manufactures, and markets personal computers and related software. Apple also manufactures and distributes music players (iPod), mobile phones (iPhone), and smartwatches
Apple Inc. (AAPL) designs, manufactures, and markets personal computers and related software. Apple also manufactures and distributes music players (iPod), mobile phones (iPhone), and smartwatches (Apple Watch) along with related accessories and services, including online distribution of third-party music, videos, and applications. The following information was taken from a recent annual report of Apple: Property, Plant, and Equipment (in millions):
Line Item Description - Current Year - Preceding Year
Land and buildings - $17,085 -$16,216
Machinery, equipment, and internal-use software - 69,797 - 65,982
Other fixed assets - 9,075 - 8,205
Accumulated depreciation and amortization- (58,579) -(49,099)
A comparison of the book values of the current and preceding years indicates that they decreased. A comparison of the total cost and accumulated depreciation reveals that Apple purchased (fill in the blank) million of additional fixed assets, which was offset by the additional depreciation expense of $9,480 million taken during the current year.
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