Part A

Go to both Apple Computer's (http://www.apple.com) and the U.S. Securities and Exchange Commision's Web sites (http://sec.gov/) to locate Apple's 2002 Form 10-K (Annual Report). Examine the financial statements. Compare and contrast Apple's standardized financial statements provided in Supplement I with those in the Form 10-K. Write a brief 1- to 2-paragraph summary stating whether the same substantive information is conveyed in the two sets of financial statements and whether there are any differences in the format of the disclosures.

Part B

Vertically common size Apple's income statements and balance sheets from 1998 to 2002. Refer to Chapter 4 of your text to see how vertical analysis is accomplished. You may also refer to the vertical common sizing of Apple from 1993 to 1998 in Appendix A of the text (p. 347 and pp. 349-350). For this task, place the percentage-based statements beneath the monetary ones in both worksheets as illustrated below.

Part C

Horizontally common size Apple's income statements and balance sheets, using the rolling-forward approach, from 1998 to 2002. Like Part B, place the revised statements below the vertical common sized statements in their respective worksheets. Refer to Chapter 4 to see how horizontal analysis is accomplished. You may also refer to the horizontal common sizing of Apple from 1993 to 1998 in Appendix A of the text (pp. 347-348 and pp. 350-351).

Part D

Compute the compound annual growth rate for these statements in the "Income Statements" and "Balance Sheets" worksheets, respectively. Like Parts B and C, place the compound annual growth rate statements below the rolling-forward percentage-based statements in each worksheet, respectively. Refer to Chapter 4 to see how compound annual growth rates are computed. You may also refer to the compound annual growth common sizing of Apple from 1993 to 1998 in Appendix A of the text (pp. 348 and pp. 352).

Part E

Write a one-paragraph trend analysis for each of the four (4) items below based upon the common sizing and growth rate financial statements of Apple for 1998 through 2002. (A 1- to 2-page narrative response is required.)

1. Revenues

2. Net income as a percentage of sales

3. Current assets as a percentage of total assets

4. Liabilities as a percentage of total assets

Attachment:- supplementi.rar