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Question Content Area

Analyze Apple Inc. by segment

Segment disclosure by Apple Inc. $($AAPL$)$ provides sales information for its major product lines for three recent years as follows $($in millions$)$:

Segment Year $3$ Year $2$ Year $1$

iPhone $$136,700$ $$155,041$ $$101,991$

iPad $20,62823,22730,283$

Mac $22,83125,47124,079$

Services $24,34819,90918,063$

Other Products $11,13210,0678,379$

Total sales $$215,639$ $$233,715$ $$182,795$

The Services segment includes sales from iTunes Store, App Store, Mac App Store, TV App Store, iBooks Store, Apple Music, AppleCare, and Apple Pay. The Other Products segment includes sales from Apple TV$,$ Apple Watch, Beats products, iPod, and Apple$-$branded accessories.

Question Content Area

a$.$ Prepare a vertical analysis of Year $3$ sales. $($Round percentages to nearest whole percent.$)$

Segment Year $3$ Sales Percent of Total Sales

iPhone $$136,700$ fill in the blank $55$e$5$c$2044$f$91$f$94\_1$

$\%$

iPad $20,628$ fill in the blank $55$e$5$c$2044$f$91$f$94\_2$

$\%$

Mac $22,831$ fill in the blank $55$e$5$c$2044$f$91$f$94\_3$

$\%$

Services $24,348$ fill in the blank $55$e$5$c$2044$f$91$f$94\_4$

$\%$

Other Products $11,132$ fill in the blank $55$e$5$c$2044$f$91$f$94\_5$

$\%$

Total sales $$215,639$ fill in the blank $55$e$5$c$2044$f$91$f$94\_6$

$\%$

Which product had the greatest percentage of Year $3$ sales? Which product had the least percentage of Year $3$ sales?

Greatest percentage

Least percentage

Question Content Area

b$.$ Prepare a horizontal analysis of the change in sales from Year $1$ to Year $3.($Round percentages to nearest whole percent. For those boxes in which you must enter subtractive or negative numbers use a minus sign.$)$

Increase $($Decrease$)$

Segment Year $3$ Year $1$ Amount Percent

iPhone $$136,700$ $$101,991$ $ fill in the blank $0084740$b$8$feb$032\_1$

fill in the blank $0084740$b$8$feb$032\_2$

$\%$

iPad $20,62830,283$ fill in the blank $0084740$b$8$feb$032\_3$

fill in the blank $0084740$b$8$feb$032\_4$

$\%$

Mac $22,83124,079$ fill in the blank $0084740$b$8$feb$032\_5$

fill in the blank $0084740$b$8$feb$032\_6$

$\%$

Services $24,34818,063$ fill in the blank $0084740$b$8$feb$032\_7$

fill in the blank $0084740$b$8$feb$032\_8$

$\%$

Other Products $11,1328,379$ fill in the blank $0084740$b$8$feb$032\_9$

fill in the blank $0084740$b$8$feb$032\_10$

$\%$

Total sales $$215,639$ $$182,795$ $fill in the blank $0084740$b$8$feb$032\_11$

fill in the blank $0084740$b$8$feb$032\_12$

$\%$

Which product grew the most in sales, in percentage terms, using Year $1$ as the base year?