Apple Inc. CONSOLIDATED STATEMENTS OF OPERATIONS (In millions, except number of shares which are reflected in thousands and per share amounts) Years ended September 28, 2019 September 29, 2018 September 30, 2017 Net sales: Products $ 213,883 $ 225,847 $ 196,534 Services 46,291 39,748 32,700 Total net sales 260,174 265,595 229,234 Cost of sales: Products 144,996 148,164 126,337 Services 16,786 15,592 14,711 Total cost of sales 161,782 163,756 141,048 Gross margin 98,392 101,839 88,186 Operating expenses: Research and development 16,217 14,236 11,581 Selling, general and administrative 18,245 16,705 15,261 Total operating expenses 34,462 30,941 26,842 Operating income 63,930 70,898 61,344 Other income/(expense), net 1,807 2,005 2,745 Income before provision for income taxes 65,737 72,903 64,089 Provision for income taxes 10,481 13,372 15,738 Net income $ 55,256 $ 59,531 $ 48,351 Earnings per share: Basic $ 11.97 $ 12.01 $ 9.27 Diluted $ 11.89 $ 11.91 $ 9.21 Shares used in computing earnings per share: Basic 4,617,834 4,955,377 5,217,242 Diluted 4,648,913 5,000,109 5,251,692 See accompanying Notes to Consolidated Financial Statements. Apple Inc. | 2019 Form 10-K | 29 Apple Inc. CONSOLIDATED BALANCE SHEETS (In millions, except number of shares which are reflected in thousands and par value) September 28, 2019 September 29, 2018 ASSETS: Current assets: Cash and cash equivalents $ 48,844 $ 25,913 Marketable securities 51,713 40,388 Accounts receivable, net 22,926 23,186 Inventories 4,106 3,956 Vendor non-trade receivables 22,878 25,809 Other current assets 12,352 12,087 Total current assets 162,819 131,339 Non-current assets: Marketable securities 105,341 170,799 Property, plant and equipment, net 37,378 41,304 Other non-current assets 32,978 22,283 Total non-current assets 175,697 234,386 Total assets $ 338,516 $ 365,725 LIABILITIES AND SHAREHOLDERS EQUITY: Current liabilities: Accounts payable $ 46,236 $ 55,888 Other current liabilities 37,720 33,327 Deferred revenue 5,522 5,966 Commercial paper 5,980 11,964 Term debt 10,260 8,784 Total current liabilities 105,718 115,929 Non-current liabilities: Term debt 91,807 93,735 Other non-current liabilities 50,503 48,914 Total non-current liabilities 142,310 142,649 Total liabilities 248,028 258,578 Commitments and contingencies Shareholders equity: Common stock and additional paid-in capital, $0.00001 par value: 12,600,000 shares authorized; 4,443,236 and 4,754,986 shares issued and outstanding, respectively 45,174 40,201 Retained earnings 45,898 70,400 Accumulated other comprehensive income/(loss) (584) (3,454) Total shareholders equity 90,488 107,147 Total liabilities and shareholders equity $ 338,516 $ 365,725 See accompanying Notes to Consolidated Financial Statements. Apple Inc. | 2019 Form 10-K | 31 Apple Inc. CONSOLIDATED STATEMENTS OF CASH FLOWS (In millions) Years ended September 28, 2019 September 29, 2018 September 30, 2017 Cash, cash equivalents and restricted cash, beginning balances $ 25,913 $ 20,289 $ 20,484 Operating activities: Net income 55,256 59,531 48,351 Adjustments to reconcile net income to cash generated by operating activities: Depreciation and amortization 12,547 10,903 10,157 Share-based compensation expense 6,068 5,340 4,840 Deferred income tax expense/(benefit) (340) (32,590) 5,966 Other (652) (444) (166) Changes in operating assets and liabilities: Accounts receivable, net 245 (5,322) (2,093) Inventories (289) 828 (2,723) Vendor non-trade receivables 2,931 (8,010) (4,254) Other current and non-current assets 873 (423) (5,318) Accounts payable (1,923) 9,175 8,966 Deferred revenue (625) (3) (593) Other current and non-current liabilities (4,700) 38,449 1,092 Cash generated by operating activities 69,391 77,434 64,225 Investing activities: Purchases of marketable securities (39,630) (71,356) (159,486) Proceeds from maturities of marketable securities 40,102 55,881 31,775 Proceeds from sales of marketable securities 56,988 47,838 94,564 Payments for acquisition of property, plant and equipment (10,495) (13,313) (12,451) Payments made in connection with business acquisitions, net (624) (721) (329) Purchases of non-marketable securities (1,001) (1,871) (521) Proceeds from non-marketable securities 1,634 353 126 Other (1,078) (745) (124) Cash generated by/(used in) investing activities 45,896 16,066 (46,446) Financing activities: Proceeds from issuance of common stock 781 669 555 Payments for taxes related to net share settlement of equity awards (2,817) (2,527) (1,874) Payments for dividends and dividend equivalents (14,119) (13,712) (12,769) Repurchases of common stock (66,897) (72,738) (32,900) Proceeds from issuance of term debt, net 6,963 6,969 28,662 Repayments of term debt (8,805) (6,500) (3,500) Proceeds from/(Repayments of) commercial paper, net (5,977) (37) 3,852 Other (105) Cash used in financing activities (90,976) (87,876) (17,974) Increase/(Decrease) in cash, cash equivalents and restricted cash 24,311 5,624 (195) Cash, cash equivalents and restricted cash, ending balances $ 50,224 $ 25,913 $ 20,289 Supplemental cash flow disclosure: Cash paid for income taxes, net $ 15,263 $ 10,417 $ 11,591 Cash paid for interest $ 3,423 $ 3,022 $ 2,092 See accompanying Notes to Consolidated Financial Statements. Apple Inc. | 2019 Form 10-K | 33

2. Apple 2019 10-K excerpts.pdf

   What dollar amount of Accounts receivable did Apple expect to collect as of the end of FY 2019?

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2 points

Question 54

1. Apple 2019 10-K excerpts.pdf

   For FY 2018, what was Apple's gross profit margin for Products?

   Dollar amount, in millions, no commas Blank 1

   Source document (enter IS, BS, or SCF) Blank 2

2 points

Question 55

1. Apple 2019 10-K excerpts.pdf

   At the end of FY2018, what was the value of goods and services that Apple owed to customers due to payments received in the past?

   Dollar amount, in millions, no commas Blank 1

   Source document (enter IS, BS, or SCF) Blank 2

2 points

Question 56

1. Apple 2019 10-K excerpts.pdf

   How much cash did Apple use to acquire PP&E during FY 2017?

   Dollar amount, in millions, no commas Blank 1

   Source document (enter IS, BS, or SCF) Blank 2

2 points

Question 57

1. Apple 2019 10-K excerpts.pdf

   How much Research and Development Expense did Apple recognize in FY2018?

   Dollar amount, in millions, no commas Blank 1

   Source document (enter IS, BS, or SCF) Blank 2

2 points

Question 58

1. Apple 2019 10-K excerpts.pdf

   How much cash did Apple use to pay dividends (and dividend equivalents) during FY 2018?

   Dollar amount, in millions, no commas Blank 1

   Source document (enter IS, BS, or SCF) Blank 2

2 points

Question 59

1. Apple 2019 10-K excerpts.pdf

   How much cash did Apple use to repurchase its common stock during FY 2019?

   Dollar amount, in millions, no commas Blank 1

   Source document (enter IS, BS, or SCF) Blank 2

2 points

Question 60

1. A company sells $800,000 of accounts receivable to a factor for cash less a 2% service charge. As a result of this transaction, which of the following statements is FALSE?

   		The company's net assets will decrease.
   		The company's gross profit margin will decrease.
   		The company's current ratio will decrease.
   		The company's net operating income will decrease.