Following are selected income statement and balance sheet data from two computer competitors: Apple and Dell, for the fiscal years ended September 29, 2012 and February 1, 2013, respectively.

a. Express each income statement amount as a percentage of sales. Comment on any differences observed between the two companies, especially as they relate to their respective business models.

b. Express each balance sheet amount as a percentage of total assets. Comment on any differences observed between the two companies. Apple has chosen to structure itself with a higher proportion of equity (and a lower proportion of debt) than Dell. How does this capital structure decision affect our evaluation of the relative riskiness of these two companies?

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Income Statement ($ millions) Sales..... Cost of goods sold.... Gross profit.... Total expenses. Net income........ Balance Sheet ($ millions) Current assets Long-term assets. Total assets.... Current liabilities.... Long-term liabilities.. Total liabilities... Stockholders' equity Total liabilities and equity. Apple $156,508 87,846 68,662 26,929 $ 41,733 Apple $ 57,653 118,411 $176,064 $ 38,542 19,312 57,854 118,210 $176,064 Dell $56,940 44,754 12,186 9,814 $ 2,372 Dell $27,968 19,572 $47,540 $23,439 13,400 36,839 10,701 $47,540