AA 12-2 Comparative Analysis LO A1

Key figures for Apple and Google follow.

	Apple										Google
$ millions	Current Year			1 Year Prior			2 Years Prior				Current Year			1 Year Prior			2 Years Prior
Operating cash flows	$	63,598		$	65,824		$	81,266			$	37,091		$	36,036		$	26,572
Total assets		375,319			321,686			290,345				197,295			167,497			147,461

Required: 1. Compute the recent two years cash flow on total assets ratios for Apple and Google. 2. For the current year, which company has the better cash flow on total assets ratio? 3. For the current year, does cash flow on total assets outperform or underperform the industry (assumed) average of 15% for (a) Apple and (b) Google?