Required Paper One (@ 50 points (Financial Analysis): Based on annual financial statements and other limited data of Apple Inc. (Apple) provided, develop a trend financial analysis over the two years of data provided (2019 and 2020). Note the data is in millions and denominated in USD.  As of 2020, long-term US interest rates averaged 1.80%. The Company had a beta of 1.20 and the median market risk premium applied for the CAPM was 5.40%. The Company’s Altman Z Score was 7.60 and their debt was rated “Aa1 and AA+.”

Briefly discuss the firm and its major competitors but do not perform a peer financial analysis. Indicate if and why the financial statements appear reliable. Does the firm appear to be a “going concern as of 2020?” Is there evidence of fraud? Assess the financial condition and operations of the firm from a two-year trend perspective (use year-end balance sheet data where relevant). Estimate the cost of equity and determine if management is creating or destroying value as of 2020. What are the financial strengths and weaknesses of the firm?  Consider integrative (DuPont), liquidity, solvency, efficiency and profitability ratios and common size balance sheet or income statement analyses. Offer and justify recommendations to enhance financial performance or reduce excessive risk.  The paper should approximate five pages (excluding relevant tables, graphs, charts and an appendix of ratio computations).  Show all ratio calculations in an appendix. Paper is due in paper format March 2, 2022.  Late papers will be penalized @ 1 point per day to a maximum of ten-point reduction.