This paper concentrates on the primary theme of 1) Compute the DuPont framework ratios for the years ended 09/26/09 and 09/25/10. Use averages where appropriate. ROE: Profit Margin: Asset Turnover: Financial Leverage: in which you have to explain and evaluate its intricate aspects in detail. In addition to this, this paper has been reviewed and purchased by most of the students hence; it has been rated 4.8 points on the scale of 5 points. Besides, the price of this paper starts from £ 79. For more details and full access to the paper, please refer to the site.
Apple: DuPont Framework Ratios and Financial Report Analysis
Use Apple`s financial statements to respond to the following questions.
1) Compute the DuPont framework ratios for the years ended 09/26/09 and 09/25/10. Use averages where appropriate.
ROE:
Profit Margin:
Asset Turnover:
Financial Leverage:
Comment on Apple`s`s performance for the year ended 09/25/10. Has it improved? Why or why not?
2) Compute Return on Assets (ROA) for 09/25/10. Is ROE different than ROA? If so, why?
3) Why does the amount of net earnings differ from the amount of cash flow from operations?
4) Did Apple`s pay any dividends in year ending 09/25/10? If so, how much?
5) Depreciation is added back on the statement of cash flows. Why?
6) The change in accounts receivable is subtracted on the statement of cash flows. Why?
7) Prepare common-size income statements and balance sheet.
a. What is the largest asset (in percentage terms ) held by Apple?
b. What is the primary source of financing for Apple?
c. Did income increase or decrease in percentage terms? Why?
8) Based on the cash flow statement:
a. What is the biggest source of cash for 2010?
b. What is the biggest use of cash for 2010?