Question
Your parents are considering investing in Apple Inc. common stock. They ask you, as an accounting expert, to make an analysis of the company for
Your parents are considering investing in Apple Inc. common stock. They ask you, as an accounting expert, to make an analysis of the company for them. Financial statements of Apple are available in Appendix A. The complete annual report, including the notes to its financial statements, is available at the company's website. Go to http://investor.apple.com. Answer the following questions.
A 5-year trend analysis, using 2015 as the base year, of net sales and net income is given below. Comment on the significance of the trend results.
| APPLE, INC. Trend Analysis of Net Sales and Net Income For the Three Years Ended 2019 | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2019 | 2018 | 2017 | 2016 | 2015 | |||||||||||
| Net Sales | $260,174 | $265,595 | $229,234 | $215,639 | $233,715 | ||||||||||
| Net Sales Trend | 111 | % | 114 | % | 98 | % | 92 | % | 100 | % | |||||
| Net Income | $55,256 | $59,531 | $48,351 | $45,687 | $53,394 | ||||||||||
| Net Income Trend | 103 | % | 111 | % | 91 | % | 86 | % | 100 | % |
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Financial And Management Accounting An Introduction
Authors: Pauline Weetman
8th Edition
1292244410, 978-1292244419
