• Apple Inc. reported the following financial information for the year:
  • Net Sales: $300 billion
  • Cost of Goods Sold: $180 billion
  • Operating Expenses: $50 billion
  • Income Tax Expense: $20 billion
  • Net Income: $50 billion

• Requirements:
  1. Calculate Apple's gross profit margin for the year.
  2. Prepare an income statement showing the components of operating expenses.
  3. Analyze the effective tax rate for Apple based on income tax expense and net income.
  4. Discuss Apple's profitability ratios, including return on assets (ROA) and return on equity (ROE).
  5. Evaluate the impact of foreign exchange rates on Apple's international operations.