Apple Inc. Case #1 - Strategy and the Balanced Scorecard (15 points) (Based on M. Bamber and L. Bamber, 2006. Using 10-K Reports Brings Management Accounting to Life. Issues in Accounting Education Vol. 21 (3) 267-290.) Please note that all Apple, Inc. cases are individual assignments, so turn in your own work using your own wording, etc. Also, when using information from the most recent 10-K report, please be sure to paraphrase the answers in your own words (i.e., do not copy exact information directly from the 10-K report) Apple Inc.'s CEO, Timothy Cook, engages you as a management consultant to develop an appropriate and professional balanced scorecard for Apple Inc.'s Americas reportable segment. Required (Go to www.sec.gov and use the most recent 10-K report filed by Apple Inc.): 1. The balanced scorecard is linked to an organization's strategy. Two types of business strategies are product differentiation, which allows a firm to charge a higher price, and cost leadership, which involves undifferentiated products with typically low costs and sales prices. Which strategy does Apple Inc. focus on? Explain your reasoning. 2. Design a balanced scorecard for the Americas reportable segment of Apple Inc. You will need to include a minimum of three strategic objectives in each of the four sections of the balanced scorecard (Financial Perspective, Customer Perspective, Internal Business Process Perspective, and Learning and Growth Perspective). You will need to determine specific performance measures and action initiatives that are linked to each strategic objective. You do not need to restrict your scorecard to performance measures that are directly available in the annual report. For example, Apple Inc.'s managers may utilize certain nonfinancial performance measures in performance evaluation that are not publicly reported for competitive reasons. Hints: Think beyond general performance measures in the textbook. The objectives, performance measures, and initiatives should be specifically linked to Apple Inc.'s strategy in the Americas reportable segment. Keep in mind that the performance measures should evaluate progress that the initiatives make in achieving specific objectives. You can use Exhibit 13-3 and 13-5 (Ch. 13) in the textbook as examples/ guides, but you need your objectives, measures, initiatives, etc. to be in your own words. You do not need any Target Performance or Actual Performance columns in your balanced scorecard