Expand Your Critical Thinking 5-1 The financial statements of Apple Inc. are presented in Appendix A at the end of this textbook. Instructions for accessing and using the companys complete annual report, including the notes to the financial statements, are also provided in Appendix A. Click here to view Appendix A. Refer to Apples financial statements and answer the following questions.

What was the percentage change in (1) net sales and in (2) net income from 2013 to 2014 and from 2014 to 2015? (Round answers to 1 decimal place, e.g. 15.2%.)

		2014			2015
Percentage change in sales		%	increasedecrease		%	decreaseincrease
Percentage change in net income		%	increasedecrease		%	decreaseincrease

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What was the companys gross profit rate in 2013, 2014, and 2015? (Round answers to 1 decimal place, e.g. 15.2%.)

		2013		2014		2015
Gross profit rate		%		%		%

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What was the companys percentage of net income to net sales in 2013, 2014, and 2015? (Round answers to 1 decimal place, e.g. 15.2%.)

		2013		2014		2015
Percentage of net income to sales		%		%		%

What is the trend of the company's percentage of net income to net sales?

The percentage of net income to sales from 2013 to 2014

decreasedvery similarincreased

.

The percentage of net income to sales from 2014 to 2015

very similarincreaseddecreased

.

What was the effect of the gross profit rate?

The gross profit rate has

showed a similar pattern increased decreased

during this time.