Refer to Apple's financial statements in Appendix A to answer the following. 1. What is the amount
Question:
Refer to Apple's financial statements in Appendix A to answer the following.
1. What is the amount of Apple's accounts receivable as of September 26, 2015?
2. Compute Apple's accounts receivable turnover as of September 26, 2015.
3. How long does it take, on average, for the company to collect receivables?
4. Apple's most liquid assets include (a) cash and cash equivalents, (b) short-term marketable securities, (c) receivables, and (d) inventory. Compute the percentage that these liquid assets make up of current liabilities as of September 26, 2015. Do the same computations for September 27, 2014. Comment on the company's ability to satisfy its current liabilities as of its fiscal 2015 year-end compared to its fiscal 2014 year-end.
5. What criteria did Apple use to classify items as cash equivalents? (Refer to Apple's footnotes describing cash equivalents in Appendix A.)
Apple's financial statements in Appendix A
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial...
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Fundamental Accounting Principles
ISBN: 978-1259536359
23rd edition
Authors: John Wild, Ken Shaw, Barbara Chiappett