The annual report of Apple Inc. is presented in Appendix A. Instructions for accessing and using the company’s complete annual report, including the notes to the financial statements, are also provided in Appendix A.

Instructions

(a) Determine the percentage increase for (1) short-term marketable securities from 2012 to 2013, and (2) long-term marketable securities from 2012 to 2013.

(b) Using Apple’s consolidated statement of cash flows, determine:

(1) Purchases of marketable securities during the current year.

(2) How much was spent for business acquisitions, net of cash acquired during the current year.