Analyze Apple Inc. by segment Segment disclosure by Apple Inc. (AAPL) provides sales information for its major product lines for three recent years as follows (in millions): Segment Year 3 Year 2 Year 1 iPhone $136,700 $155,041 $101,991 iPad 20,628 23,227 30,283 Mac 22,831 25,471 24,079 Services 24,348 19,909 18,063 Other Products 11,132 10,067 8,379 Total sales $215,639 $233,715 $182,795 The Services segment includes sales from iTunes Store, App Store, Mac App Store, TV App Store, iBooks Store, Apple Music, AppleCare, and Apple Pay. The Other Products segment includes sales from Apple TV, Apple Watch, Beats products, iPod, and Apple-branded accessories. a. Prepare a vertical analysis of Year 3 sales. (Round percentages to nearest whole percent.)

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Analyze Apple Inc. by segment

Segment disclosure by Apple Inc. (AAPL) provides sales information for its major product lines for three recent years as follows (in millions):

Segment   Year 3   Year 2   Year 1  
iPhone   $136,700   $155,041   $101,991  
iPad   20,628   23,227   30,283  
Mac   22,831   25,471   24,079  
Services   24,348   19,909   18,063  
Other Products   11,132   10,067   8,379  
Total sales   $215,639   $233,715   $182,795  

The Services segment includes sales from iTunes Store, App Store, Mac App Store, TV App Store, iBooks Store, Apple Music, AppleCare, and Apple Pay. The Other Products segment includes sales from Apple TV, Apple Watch, Beats products, iPod, and Apple-branded accessories.

 

a. Prepare a vertical analysis of Year 3 sales. (Round percentages to nearest whole percent.)

a. Prepare a vertical analysis of Year 3 sales. (Round percentages to nearest whole percent.)
Segment
Year 3 Sales Percent of Total Sales
iPhone
$136,700
iPad
20,628
22,831
24,348
11,132
$215,639
Mac
Services
Other Products
%
%
%
%
%
%
Total sales
Which product had the greatest percentage of Year 3 sales? Which product had the least percentage of Year 3 sales?
Greatest percentage
Least percentage
Transcribed Image Text:a. Prepare a vertical analysis of Year 3 sales. (Round percentages to nearest whole percent.) Segment Year 3 Sales Percent of Total Sales iPhone $136,700 iPad 20,628 22,831 24,348 11,132 $215,639 Mac Services Other Products % % % % % % Total sales Which product had the greatest percentage of Year 3 sales? Which product had the least percentage of Year 3 sales? Greatest percentage Least percentage
b. Prepare a horizontal analysis of the change in sales from Year 1 to Year 3. (Round percentages to nearest whole percent. For those boxes in which you must enter
subtractive or negative numbers use a minus sign.)
Increase (Decrease)
Amount
Segment
iPhone
iPad
Mac
Services
Year 3
$136,700
Other Products
Year 1
$101,991 $
Percent
20,628 30,283
22,831 24,079
24,348 18,063
11,132
8,379
Total sales $215,639 $182,795
Which product grew the most in sales, in percentage terms, using Year 1 as the base year?
%
%
%
%
%
%
Transcribed Image Text:b. Prepare a horizontal analysis of the change in sales from Year 1 to Year 3. (Round percentages to nearest whole percent. For those boxes in which you must enter subtractive or negative numbers use a minus sign.) Increase (Decrease) Amount Segment iPhone iPad Mac Services Year 3 $136,700 Other Products Year 1 $101,991 $ Percent 20,628 30,283 22,831 24,079 24,348 18,063 11,132 8,379 Total sales $215,639 $182,795 Which product grew the most in sales, in percentage terms, using Year 1 as the base year? % % % % % %
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