Question 3

Guess what its time for a real-world scenario!!! In our content folder for this exam, you will see a link attached that will direct you to Apples Consolidated Statements (Unaudited). Using their financials, create a table in Excel like this:

• Calculate the ratio for each year. What does your calculation tell you about each ratio? What does the change mean? Did it improve or get worse? What constitutes improvement vs. what signifies worsening?
• Recreate the Consolidated Balance Sheet in a SEPARATE worksheet. It can be labeled Question 3_Part2. Here, you will use Excels outlining feature to collapse the categories by their totals. For example, Current Assets should be collapsed to where you can expand to see cash and cash equivalents, marketable securities, and so on. You will do this for all three sections of the balance sheet.

Apple Inc. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (In millions, except number of shares which are reflected in thousands and per share amounts) Three Months Ended Cost of sales: Products Services Total cost of sales Gross margin Operating expenses: Research and development Selling, general and administrative Total operating expenses Operating income Other income/(expense), net Income before provision for income taxes Provision for income taxes Net income Earnings per share: Basic Diluted Shares used in computing earnings per share: Basic Diluted $ 2.36$ 8.928.86$$9.078.99 2.18$ 2.34$ 4,570,633 4,882,167 4,660,175 5,006,640 4,601,3804,926,6094,691,7595,050,963 (1) Net sales by reportable segment: Americas Europe Greater China Japan Rest of Asia Pacific Total net sales (1) Net sales by category: iPhone Mac iPad Wearables, Home and Accessories Services Total net sales Apple Inc. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (In millions, except number of shares which are reflected in thousands and per share amounts) Three Months Ended Cost of sales: Products Services Total cost of sales Gross margin Operating expenses: Research and development Selling, general and administrative Total operating expenses Operating income Other income/(expense), net Income before provision for income taxes Provision for income taxes Net income Earnings per share: Basic Diluted Shares used in computing earnings per share: Basic Diluted $ 2.36$ 8.928.86$$9.078.99 2.18$ 2.34$ 4,570,633 4,882,167 4,660,175 5,006,640 4,601,3804,926,6094,691,7595,050,963 (1) Net sales by reportable segment: Americas Europe Greater China Japan Rest of Asia Pacific Total net sales (1) Net sales by category: iPhone Mac iPad Wearables, Home and Accessories Services Total net sales