Please read and complete each section thoroughly

BUS352 – Financial Statement Analysis

Case #2 – Analyzing a Company’s financial condition

The case will ask you to analyze the financial condition of Apple, Inc. and prepare a report of your

findings and conclusion. Use the naming convention “LastName FirstInitial- Case 2” for your document.

Each one of the parts listed below should be separated into a separate section and labeled accordingly.

For example, you should start your report with Part I – Company Background.

Symbol for Apple, Inc. is AAPL. Follow each of the directions listed below:

Part I – Company Background

Go to the follow website.…

Under “Fast Search” type AAPL (Apple, Inc.)

Go into the 10K Document (Annual Report)

Review the 10K and use the information in this document to answer the following questions:

a. Write 2 to 3 sentences expressing the company’s ongoing business and their current business

strategy. (Read Item 1)

b. Describe 2 risk factors that the company feels may be important in interpreting the financial

statements. (Read Item 1A)

c. Find the section labeled “Management’s Discussion and Analysis of Financial Condition and

Results of Operations”. In 4 to 5 sentences describe Management’s analysis of the financial

condition of Apple, Inc. (Read Item 7)

This part should be a maximum of 100 words.

Part II – Financial Information

While in the same website, answer the following questions:

a. Go into the “Financial Statements and Supplementary data” section. (Read Item 8) Find

or calculate the following ratios and include a 1 to 2 sentences explaining each ratio.

The ratios should be calculated/researched for years ending 9/30/16 and 9/30/17.

Explain any trends that you see occurring in the ratios from year to year.

i. Current Ratio

ii. Debt to Equity Ratio

iii. Net Margin