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Please create a 5 year trend data from 2007, 2008, 2009, 2010 and 2011 From the

ID: 2379436 • Letter: P

Question

Please create a 5 year trend data from 2007, 2008, 2009, 2010 and 2011


From the September 24, 2011, and September 25, 2010, consolidated balance sheets

and income statements for the years then ended for Apple Inc. follow. All amounts

are reported in millions.

2011 2010

Net sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $108,249 $65,225

Cost of sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64,431 39,541

Research and development expenses . . . . . . . . . . . . . . . . . . . . 2,429 1,782

Selling, general, and administrative expenses . . . . . . . . . . . . . . 7,599 5,517

Operating income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ? ?

Other income, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ? 155

Provision for income taxes. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,283 ?

Net income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 25,922 $14,013



2011 2010


Net sales: $108,249, $65,225

Cost of sales: $64,431, $39,541

Gross profit: $43,818, $25,685

Gross profit/net sales: 40% , 39%



Apples 5-year trend for these data: 2011 2010 2009 2008 2007 ( data for 2011 and 2010 are already documented, just need to get the data for 2009, 2008 and 2007)


Net sales: $108,249, $65,225

Cost of sales: $64,431, $39,541

Gross profit: $43,818, $25,685

Gross profit/net sales: 40% , 39%

Explanation / Answer

2009E 2008 2007

Assets

Cash $ 85,632 $ 7,282 $ 57,600

Accounts receivable 878,000 632,160 351,200

Inventories 1,716,480 1,287,360 715,200

Total current assets $ 2,680,112 $ 1,926,802 $ 1,124,000

Gross fixed assets 1,197,160 1,202,950 491,000

Less accumulated depreciation 380,120 263,160 146,200

Net fixed assets $ 817,040 $ 939,790 $ 344,800

Total assets $ 3,497,152 $ 2,866,592 $ 1,468,800

Liabilities and Equity

Accounts payable $ 436,800 $ 524,160 $ 145,600

Notes payable 300,000 636,808 200,000

Accruals 408,000 489,600 136,000

Total current liabilities $ 1,144,800 $ 1,650,568 $ 481,600

Long-term debt 400,000 723,432 323,432

Common stock 1,721,176 460,000 460,000

Retained earnings 231,176 32,592 203,768

Total equity $ 1,952,352 $ 492,592 $ 663,768

Total liabilities and equity $ 3,497,152 $ 2,866,592 $ 1,468,800

Sales $ 7,035,600 $ 6,034,000 $ 3,432,000

Cost of goods sold 5,875,992 5,528,000 2,864,000

Other expenses 550,000 519,988 358,672

Total operating costs

excluding depreciation $ 6,425,992 $ 6,047,988 $ 3,222,672

EBITDA $ 609,608 ($ 13,988) $ 209,328

Depreciation 116,960 116,960 18,900

EBIT $ 492,648 ($ 130,948) $ 190,428

Interest expense 70,008 136,012 43,828

EBT $ 422,640 ($ 266,960) $ 146,600

Taxes (40%) 169,056 (106,784)a 58,640

Net income $ 253,584 ($ 160,176) $ 87,960

EPS $ 1.014 ($ 1.602) $ 0.880

DPS $ 0.220 $ 0.110 $ 0.220

Book value per share $ 7.809 $ 4.926 $ 6.638

Stock price $ 12.17 $ 2.25 $ 8.50

Shares outstanding 250,000 100,000 100,000

Tax rate 40.00% 40.00% 40.00%

Lease payments 40,000 40,000 40,000

Sinking fund payments 0 0 0



2009E 2008 2007 Average

Current 1.2X 2.3X 2.7X

Quick 0.4X 0.8X 1.0X

Inventory turnover 4.7X 4.8X 6.1X

Days sales outstanding (DSO)a 38.2 37.4 32.0

Fixed assets turnover 6.4X 10.0X 7.0X

Total assets turnover 2.1X 2.3X 2.6X

Debt ratio 82.8% 54.8% 50.0%

TIE -1.0X 4.3X 6.2X

Operating margin -2.2% 5.6% 7.3%

Profit margin -2.7% 2.6% 3.5%

Basic earning power -4.6% 13.0% 19.1%

ROA -5.6% 6.0% 9.1%

ROE -32.5% 13.3% 18.2%

Price/earnings -1.4X 9.7X 14.2X

Market/book 0.5X 1.3X 2.4X

Book value per share $4.93 $6.64 n.a.

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