Case 3-24 (Static) Analysis of liquidity and profitability measures of Apple Inc. LO 3, 4, 6, 7 The following summarized data (amounts in millions) are taken from the September 30, 2017, and September 24, 2016, comparative financial statements of Apple Inc., a company that designs, manufactures, and markets mobile communication and media devices and personal computers; sells a variety of related software, services, accessories, networking solutions, and offers third-party digital content and applications: (Amounts Expressed in Millions) For the Fiscal Years Ended September 30 and September 24, respectively: Net sales Costs of sales Operating incone Net income At Year End: Assets Current assets: Cash and cash equivalents Short-term marketable securities Accounts receivable, less allowance of $58 and $53, respectively Inventories Vendor nontrade receivables Other current assets Total current assets Long-term marketable securities Property, plant, and equipment, net Goodwill Acquired intangible assets, net Other assets Total assets Liabilities and Shareholders' Equity Current Liabilities: Accounts payable 2017 2016 $229,234 $215,639 114,848 131,376 61,344 60,024 $ 48,351 $45,687 $ 20,289 $20,484 53,892 17,874 46,671 15,754 4,855 2,132 17,799 13,545 13,936 8,283 128,645 106,869 194,714 170,438 33,783 27,010 5,717 5,414 2,298 3,206 10,162 8,757 $375,319 $321,686 $ 49,049 $ 37,294 Accrued expenses Deferred revenue Commercial paper Current portion of long-term debt Total current Liabilities Deferred revenue-noncurrent Long-term debt Other noncurrent liabilities Total liabilities 25,744 22,827 7,548 8,080 11,977 8,105 6,496 3,500 100,814 79,005 2,836) 2,938 97,287 75,427 40,415 36,074 241,272 193,437 Shareholders Equity: Common stock and additional paid-in capital, s0.00001 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 (loss) Total shareholders' equity Total Liabilities and shareholders' equity 35,867 98,330 (150) 134,047 31,251 96,364 634 128,249 $375,319 $ 321,686 At September 26, 2015, total assets were $290,345 and total shareholders' equity was $119,355. Required: a. Calculate Apple Inc's working capital, current ratio, and acid-test ratio at September 30, 2017, and September 24, 2016. b. Calculate Apple's ROE for the years ended September 30, 2017, and September 24, 2016. c. Calculate Apple's ROI, showing margin and turnover, for the years ended September 30, 2017, and September 24, 2016.