The following data (in millions) were adapted from recent financial statements of Apple Inc. (AAPL).

1. Compute the accounts receivable turnover for Years 1 and 2. Round to one decimal place.

2. Compute days’ sales in receivables for Years 1 and 2. Round to the nearest day.

3. Compute the inventory turnover for Years 1 and 2. Round to one decimal place.

4. Compute days’ sales in inventory for Years 1 and 2. Round to nearest day.

5. Compute the return on sales for Years 1 and 2. Round to one decimal place.

6. Comment on Apple’s operations based upon the results in parts (1), (2), (3), (4), and (5).

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Year 2 Year 1 Sales $229,234 141,048 $215,639 Cost of goods sold Operating income Average net accounts receivable 131,376 61,344 60,024 16,814 14,802 Average inventory 3,494 2,241