QUESTION 3

1. Looking back at Apple's income statement (or "statement of operations") from the most recent Form 10-K you used with your last assignment, what type of cost structure does Apple have? Apple provides a traditional format income statement for financial reporting purposes, but there is enough information provided for you to decipher for yourself the extent to which Apple's costs are primarily variable or fixed in nature.

		Higher VARIABLE cost structure
		Higher FIXED cost structure