Nt1310 Unit 4 Assignment

Words: 1129
Pages: 5

The module four excel assignment is on the same company, Apple. Adding another two years of financial statements data has given me three years of annual data to review for historical analysis. Adding this data has allowed me to see and analyze each of the ratios and whether they have changed and how over this three-year period. After completing all the formulas to calculate the financial indicators for each year of data there are definitely some changes I have noticed. To start off the current ratio for Apple has increased over the three-year period. This is due to the company’s assets increasing every year giving the company a higher current ratio each time. In 2014 the current ratio was 1.08 and it increased up to 1.35 in that time period. …show more content…
It went from $6.49 to $9.28 back to $8.35. When Apple’s earnings per share increased it is due to a possible good investment made and that the company is financially stable or if they even bought back their own shares and make it look like they are doing well, but they are really not (The Motley Fool, 2017). When it started to go back down the company could be having a little trouble. The earnings per share are all over the place due to this and the choices Apple has made. Apple’s price/earnings ratio did decline from 2014 and then made its way back up a little. In 2014 it was 17 and in 2016 it was 13.87. Apple’s close pricing varied from 110.38 to 105.26 to 115.82 in the year 2016. As seen before the earnings per share were low and then increased and went back down a little in 2016. This calculation shows that they have grown and now have a good value, but could also mean that investors are not very serious and 100% in (Fellows, 2016). Also, as the P/E goes down Apple could have rising interest rates, increased unemployment, and consumers are spending less and do not want to pay more. Spending less decreases sales and either way this ratio goes it is still good and