Apple Inc. 10-K form for the fiscal year ended 2023-09-30, page 29: 
Apple Inc.


CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(In millions)
|    |                                                                              |                   |        |                   |          |                   |        |       |    |        |
|---:|:-----------------------------------------------------------------------------|:------------------|:-------|:------------------|:---------|:------------------|:-------|:------|:---|:-------|
|  1 |                                                                              | Years ended       |        |                   |          |                   |        |       |    |        |
|  2 |                                                                              | September 30,2023 |        | September 24,2022 |          | September 25,2021 |        |       |    |        |
|  3 | Net income                                                                   | $                 | 96,995 |                   |          | $                 | 99,803 |       | $  | 94,680 |
|  4 | Other comprehensive income/(loss):                                           |                   |        |                   |          |                   |        |       |    |        |
|  5 | Change in foreign currency translation, net of tax                           | (765)             |        |                   | (1,511)  |                   |        | 501   |    |        |
|  7 | Change in unrealized gains/losses on derivative instruments, net of tax:     |                   |        |                   |          |                   |        |       |    |        |
|  8 | Change in fair value of derivative instruments                               | 323               |        |                   | 3,212    |                   |        | 32    |    |        |
|  9 | Adjustment for net (gains)/losses realized and included in net income        | (1,717)           |        |                   | (1,074)  |                   |        | 1,003 |    |        |
| 10 | Total change in unrealized gains/losses on derivative instruments            | (1,394)           |        |                   | 2,138    |                   |        | 1,035 |    |        |
| 12 | Change in unrealized gains/losses on marketable debt securities, net of tax: |                   |        |                   |          |                   |        |       |    |        |
| 13 | Change in fair value of marketable debt securities                           | 1,563             |        |                   | (12,104) |                   |        | (694) |    |        |
| 14 | Adjustment for net (gains)/losses realized and included in net income        | 253               |        |                   | 205      |                   |        | (273) |    |        |
| 15 | Total change in unrealized gains/losses on marketable debt securities        | 1,816             |        |                   | (11,899) |                   |        | (967) |    |        |
| 17 | Total other comprehensive income/(loss)                                      | (343)             |        |                   | (11,272) |                   |        | 569   |    |        |
| 18 | Total comprehensive income                                                   | $                 | 96,652 |                   |          | $                 | 88,531 |       | $  | 95,249 |

See accompanying Notes to Consolidated Financial Statements.


Apple Inc. | 2023 Form 10-K | 29





, Apple Inc. 10-K form for the fiscal year ended 2023-09-30, page 30: 
Apple Inc.


CONSOLIDATED BALANCE SHEETS

(In millions, except number of shares, which are reflected in thousands, and par value)
|    |                                                                                                                                                                      |                   |         |                   |          |    |         |
|---:|:---------------------------------------------------------------------------------------------------------------------------------------------------------------------|:------------------|:--------|:------------------|:---------|:---|:--------|
|  1 |                                                                                                                                                                      | September 30,2023 |         | September 24,2022 |          |    |         |
|  2 | ASSETS:                                                                                                                                                              |                   |         |                   |          |    |         |
|  3 | Current assets:                                                                                                                                                      |                   |         |                   |          |    |         |
|  4 | Cash and cash equivalents                                                                                                                                            | $                 | 29,965  |                   |          | $  | 23,646  |
|  5 | Marketable securities                                                                                                                                                | 31,590            |         |                   | 24,658   |    |         |
|  6 | Accounts receivable, net                                                                                                                                             | 29,508            |         |                   | 28,184   |    |         |
|  7 | Vendor non-trade receivables                                                                                                                                         | 31,477            |         |                   | 32,748   |    |         |
|  8 | Inventories                                                                                                                                                          | 6,331             |         |                   | 4,946    |    |         |
|  9 | Other current assets                                                                                                                                                 | 14,695            |         |                   | 21,223   |    |         |
| 10 | Total current assets                                                                                                                                                 | 143,566           |         |                   | 135,405  |    |         |
| 12 | Non-current assets:                                                                                                                                                  |                   |         |                   |          |    |         |
| 13 | Marketable securities                                                                                                                                                | 100,544           |         |                   | 120,805  |    |         |
| 14 | Property, plant and equipment, net                                                                                                                                   | 43,715            |         |                   | 42,117   |    |         |
| 15 | Other non-current assets                                                                                                                                             | 64,758            |         |                   | 54,428   |    |         |
| 16 | Total non-current assets                                                                                                                                             | 209,017           |         |                   | 217,350  |    |         |
| 17 | Total assets                                                                                                                                                         | $                 | 352,583 |                   |          | $  | 352,755 |
| 19 | LIABILITIES AND SHAREHOLDERS' EQUITY:                                                                                                                                |                   |         |                   |          |    |         |
| 20 | Current liabilities:                                                                                                                                                 |                   |         |                   |          |    |         |
| 21 | Accounts payable                                                                                                                                                     | $                 | 62,611  |                   |          | $  | 64,115  |
| 22 | Other current liabilities                                                                                                                                            | 58,829            |         |                   | 60,845   |    |         |
| 23 | Deferred revenue                                                                                                                                                     | 8,061             |         |                   | 7,912    |    |         |
| 24 | Commercial paper                                                                                                                                                     | 5,985             |         |                   | 9,982    |    |         |
| 25 | Term debt                                                                                                                                                            | 9,822             |         |                   | 11,128   |    |         |
| 26 | Total current liabilities                                                                                                                                            | 145,308           |         |                   | 153,982  |    |         |
| 28 | Non-current liabilities:                                                                                                                                             |                   |         |                   |          |    |         |
| 29 | Term debt                                                                                                                                                            | 95,281            |         |                   | 98,959   |    |         |
| 30 | Other non-current liabilities                                                                                                                                        | 49,848            |         |                   | 49,142   |    |         |
| 31 | Total non-current liabilities                                                                                                                                        | 145,129           |         |                   | 148,101  |    |         |
| 32 | Total liabilities                                                                                                                                                    | 290,437           |         |                   | 302,083  |    |         |
| 34 | Commitments and contingencies                                                                                                                                        |                   |         |                   |          |    |         |
| 36 | Shareholders' equity:                                                                                                                                                |                   |         |                   |          |    |         |
| 37 | Common stock and additional paid-in capital, $0.00001 par value: 50,400,000 shares authorized; 15,550,061 and 15,943,425 shares issued and outstanding, respectively | 73,812            |         |                   | 64,849   |    |         |
| 38 | Accumulated deficit                                                                                                                                                  | (214)             |         |                   | (3,068)  |    |         |
| 39 | Accumulated other comprehensive loss                                                                                                                                 | (11,452)          |         |                   | (11,109) |    |         |
| 40 | Total shareholders' equity                                                                                                                                           | 62,146            |         |                   | 50,672   |    |         |
| 41 | Total liabilities and shareholders' equity                                                                                                                           | $                 | 352,583 |                   |          | $  | 352,755 |

See accompanying Notes to Consolidated Financial Statements.


Apple Inc. | 2023 Form 10-K | 30





, Apple Inc. 10-K form for the fiscal year ended 2023-09-30, page 31: 
Apple Inc.


CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY

(In millions, except per-share amounts)
|    |                                                                        |                   |        |                   |          |                   |        |          |    |        |
|---:|:-----------------------------------------------------------------------|:------------------|:-------|:------------------|:---------|:------------------|:-------|:---------|:---|:-------|
|  1 |                                                                        | Years ended       |        |                   |          |                   |        |          |    |        |
|  2 |                                                                        | September 30,2023 |        | September 24,2022 |          | September 25,2021 |        |          |    |        |
|  3 | Total shareholders' equity, beginning balances                         | $                 | 50,672 |                   |          | $                 | 63,090 |          | $  | 65,339 |
|  5 | Common stock and additional paid-in capital:                           |                   |        |                   |          |                   |        |          |    |        |
|  6 | Beginning balances                                                     | 64,849            |        |                   | 57,365   |                   |        | 50,779   |    |        |
|  7 | Common stock issued                                                    | 1,346             |        |                   | 1,175    |                   |        | 1,105    |    |        |
|  8 | Common stock withheld related to net share settlement of equity awards | (3,521)           |        |                   | (2,971)  |                   |        | (2,627)  |    |        |
|  9 | Share-based compensation                                               | 11,138            |        |                   | 9,280    |                   |        | 8,108    |    |        |
| 10 | Ending balances                                                        | 73,812            |        |                   | 64,849   |                   |        | 57,365   |    |        |
| 12 | Retained earnings/(Accumulated deficit):                               |                   |        |                   |          |                   |        |          |    |        |
| 13 | Beginning balances                                                     | (3,068)           |        |                   | 5,562    |                   |        | 14,966   |    |        |
| 14 | Net income                                                             | 96,995            |        |                   | 99,803   |                   |        | 94,680   |    |        |
| 15 | Dividends and dividend equivalents declared                            | (14,996)          |        |                   | (14,793) |                   |        | (14,431) |    |        |
| 16 | Common stock withheld related to net share settlement of equity awards | (2,099)           |        |                   | (3,454)  |                   |        | (4,151)  |    |        |
| 17 | Common stock repurchased                                               | (77,046)          |        |                   | (90,186) |                   |        | (85,502) |    |        |
| 18 | Ending balances                                                        | (214)             |        |                   | (3,068)  |                   |        | 5,562    |    |        |
| 20 | Accumulated other comprehensive income/(loss):                         |                   |        |                   |          |                   |        |          |    |        |
| 21 | Beginning balances                                                     | (11,109)          |        |                   | 163      |                   |        | (406)    |    |        |
| 22 | Other comprehensive income/(loss)                                      | (343)             |        |                   | (11,272) |                   |        | 569      |    |        |
| 23 | Ending balances                                                        | (11,452)          |        |                   | (11,109) |                   |        | 163      |    |        |
| 25 | Total shareholders' equity, ending balances                            | $                 | 62,146 |                   |          | $                 | 50,672 |          | $  | 63,090 |
| 27 | Dividends and dividend equivalents declared per share or RSU           | $                 | 0.94   |                   |          | $                 | 0.90   |          | $  | 0.85   |

See accompanying Notes to Consolidated Financial Statements.


Apple Inc. | 2023 Form 10-K | 31





, Apple Inc. 10-K form for the fiscal year ended 2023-09-30, page 32: 
Apple Inc.


CONSOLIDATED STATEMENTS OF CASH FLOWS

(In millions)
|    |                                                                                |                   |        |                   |           |                   |        |           |    |        |
|---:|:-------------------------------------------------------------------------------|:------------------|:-------|:------------------|:----------|:------------------|:-------|:----------|:---|:-------|
|  1 |                                                                                | Years ended       |        |                   |           |                   |        |           |    |        |
|  2 |                                                                                | September 30,2023 |        | September 24,2022 |           | September 25,2021 |        |           |    |        |
|  3 | Cash, cash equivalents and restricted cash, beginning balances                 | $                 | 24,977 |                   |           | $                 | 35,929 |           | $  | 39,789 |
|  5 | Operating activities:                                                          |                   |        |                   |           |                   |        |           |    |        |
|  6 | Net income                                                                     | 96,995            |        |                   | 99,803    |                   |        | 94,680    |    |        |
|  7 | Adjustments to reconcile net income to cash generated by operating activities: |                   |        |                   |           |                   |        |           |    |        |
|  8 | Depreciation and amortization                                                  | 11,519            |        |                   | 11,104    |                   |        | 11,284    |    |        |
|  9 | Share-based compensation expense                                               | 10,833            |        |                   | 9,038     |                   |        | 7,906     |    |        |
| 11 | Other                                                                          | (2,227)           |        |                   | 1,006     |                   |        | (4,921)   |    |        |
| 12 | Changes in operating assets and liabilities:                                   |                   |        |                   |           |                   |        |           |    |        |
| 13 | Accounts receivable, net                                                       | (1,688)           |        |                   | (1,823)   |                   |        | (10,125)  |    |        |
| 14 | Vendor non-trade receivables                                                   | 1,271             |        |                   | (7,520)   |                   |        | (3,903)   |    |        |
| 15 | Inventories                                                                    | (1,618)           |        |                   | 1,484     |                   |        | (2,642)   |    |        |
| 16 | Other current and non-current assets                                           | (5,684)           |        |                   | (6,499)   |                   |        | (8,042)   |    |        |
| 17 | Accounts payable                                                               | (1,889)           |        |                   | 9,448     |                   |        | 12,326    |    |        |
| 18 | Other current and non-current liabilities                                      | 3,031             |        |                   | 6,110     |                   |        | 7,475     |    |        |
| 19 | Cash generated by operating activities                                         | 110,543           |        |                   | 122,151   |                   |        | 104,038   |    |        |
| 21 | Investing activities:                                                          |                   |        |                   |           |                   |        |           |    |        |
| 22 | Purchases of marketable securities                                             | (29,513)          |        |                   | (76,923)  |                   |        | (109,558) |    |        |
| 23 | Proceeds from maturities of marketable securities                              | 39,686            |        |                   | 29,917    |                   |        | 59,023    |    |        |
| 24 | Proceeds from sales of marketable securities                                   | 5,828             |        |                   | 37,446    |                   |        | 47,460    |    |        |
| 25 | Payments for acquisition of property, plant and equipment                      | (10,959)          |        |                   | (10,708)  |                   |        | (11,085)  |    |        |
| 27 | Other                                                                          | (1,337)           |        |                   | (2,086)   |                   |        | (385)     |    |        |
| 28 | Cash generated by/(used in) investing activities                               | 3,705             |        |                   | (22,354)  |                   |        | (14,545)  |    |        |
| 30 | Financing activities:                                                          |                   |        |                   |           |                   |        |           |    |        |
| 31 | Payments for taxes related to net share settlement of equity awards            | (5,431)           |        |                   | (6,223)   |                   |        | (6,556)   |    |        |
| 32 | Payments for dividends and dividend equivalents                                | (15,025)          |        |                   | (14,841)  |                   |        | (14,467)  |    |        |
| 33 | Repurchases of common stock                                                    | (77,550)          |        |                   | (89,402)  |                   |        | (85,971)  |    |        |
| 34 | Proceeds from issuance of term debt, net                                       | 5,228             |        |                   | 5,465     |                   |        | 20,393    |    |        |
| 35 | Repayments of term debt                                                        | (11,151)          |        |                   | (9,543)   |                   |        | (8,750)   |    |        |
| 36 | Proceeds from/(Repayments of) commercial paper, net                            | (3,978)           |        |                   | 3,955     |                   |        | 1,022     |    |        |
| 37 | Other                                                                          | (581)             |        |                   | (160)     |                   |        | 976       |    |        |
| 38 | Cash used in financing activities                                              | (108,488)         |        |                   | (110,749) |                   |        | (93,353)  |    |        |
| 40 | Increase/(Decrease) in cash, cash equivalents and restricted cash              | 5,760             |        |                   | (10,952)  |                   |        | (3,860)   |    |        |
| 41 | Cash, cash equivalents and restricted cash, ending balances                    | $                 | 30,737 |                   |           | $                 | 24,977 |           | $  | 35,929 |
| 43 | Supplemental cash flow disclosure:                                             |                   |        |                   |           |                   |        |           |    |        |
| 44 | Cash paid for income taxes, net                                                | $                 | 18,679 |                   |           | $                 | 19,573 |           | $  | 25,385 |
| 45 | Cash paid for interest                                                         | $                 | 3,803  |                   |           | $                 | 2,865  |           | $  | 2,687  |

See accompanying Notes to Consolidated Financial Statements.


Apple Inc. | 2023 Form 10-K | 32





, Apple Inc. 10-K form for the fiscal year ended 2023-09-30, page 39: 
Note 5 – Property, Plant and Equipment

The following table shows the Company's gross property, plant and equipment by major asset class and accumulated depreciation as of September 30, 2023 and September 24, 2022 (in millions):
|    |                                                |          |        |      |          |    |        |
|---:|:-----------------------------------------------|:---------|:-------|:-----|:---------|:---|:-------|
|  1 |                                                | 2023     |        | 2022 |          |    |        |
|  2 | Land and buildings                             | $        | 23,446 |      |          | $  | 22,126 |
|  3 | Machinery, equipment and internal-use software | 78,314   |        |      | 81,060   |    |        |
|  4 | Leasehold improvements                         | 12,839   |        |      | 11,271   |    |        |
|  5 | Gross property, plant and equipment            | 114,599  |        |      | 114,457  |    |        |
|  6 | Accumulated depreciation                       | (70,884) |        |      | (72,340) |    |        |
|  7 | Total property, plant and equipment, net       | $        | 43,715 |      |          | $  | 42,117 |
Depreciation expense on property, plant and equipment was $8.5 billion, $8.7 billion and $9.5 billion during 2023, 2022 and 2021, respectively.

Note 6 – Consolidated Financial Statement Details

The following tables show the Company's consolidated financial statement details as of September 30, 2023 and September 24, 2022 (in millions):

Other Non-Current Assets

|    |                                |        |        |      |        |    |        |
|---:|:-------------------------------|:-------|:-------|:-----|:-------|:---|:-------|
|  1 |                                | 2023   |        | 2022 |        |    |        |
|  2 | Deferred tax assets            | $      | 17,852 |      |        | $  | 15,375 |
|  3 | Other non-current assets       | 46,906 |        |      | 39,053 |    |        |
|  4 | Total other non-current assets | $      | 64,758 |      |        | $  | 54,428 |

Other Current Liabilities

|    |                                 |        |        |      |        |    |        |
|---:|:--------------------------------|:-------|:-------|:-----|:-------|:---|:-------|
|  1 |                                 | 2023   |        | 2022 |        |    |        |
|  2 | Income taxes payable            | $      | 8,819  |      |        | $  | 6,552  |
|  3 | Other current liabilities       | 50,010 |        |      | 54,293 |    |        |
|  4 | Total other current liabilities | $      | 58,829 |      |        | $  | 60,845 |

Other Non-Current Liabilities

|    |                                     |        |        |      |        |    |        |
|---:|:------------------------------------|:-------|:-------|:-----|:-------|:---|:-------|
|  1 |                                     | 2023   |        | 2022 |        |    |        |
|  2 | Long-term taxes payable             | $      | 15,457 |      |        | $  | 16,657 |
|  3 | Other non-current liabilities       | 34,391 |        |      | 32,485 |    |        |
|  4 | Total other non-current liabilities | $      | 49,848 |      |        | $  | 49,142 |

Other Income/(Expense), Net

The following table shows the detail of other income/(expense), net for 2023, 2022 and 2021 (in millions):
|    |                                   |         |       |      |         |      |       |         |    |       |
|---:|:----------------------------------|:--------|:------|:-----|:--------|:-----|:------|:--------|:---|:------|
|  1 |                                   | 2023    |       | 2022 |         | 2021 |       |         |    |       |
|  2 | Interest and dividend income      | $       | 3,750 |      |         | $    | 2,825 |         | $  | 2,843 |
|  3 | Interest expense                  | (3,933) |       |      | (2,931) |      |       | (2,645) |    |       |
|  4 | Other income/(expense), net       | (382)   |       |      | (228)   |      |       | 60      |    |       |
|  5 | Total other income/(expense), net | $       | (565) |      |         | $    | (334) |         | $  | 258   |

Apple Inc. | 2023 Form 10-K | 39







Question: How did Apple Inc.'s Interest Coverage Ratio evolve between 2021 and 2023?
Answer: Interest Coverage Ratio is calculated using the formula: Interest Coverage Ratio = EBIT / Interest Expenses.

For 2021:
EBIT (Operating Income) = $108,949 million
Interest Expenses = $2,687 million
Interest Coverage Ratio = $108,949 million / $2,687 million = 40.6

For 2022:
EBIT (Operating Income) = $119,437 million
Interest Expenses = $2,931 million
Interest Coverage Ratio = $119,437 million / $2,931 million = 40.7

For 2023:
EBIT (Operating Income) = $114,301 million
Interest Expenses = $3,933 million
Interest Coverage Ratio = $114,301 million / $3,933 million = 29.1