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Argosy University/ Phoniex University/
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Phoniex University
Oct-2001 - Nov-2016
Decision Case 7-2 Reading Apple Inc.’s Statement of Cash Flows
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The following items appeared in the Investing Activities section of Apple Inc.’s statement of cash flows included in Form 10-K for the year ended September 29, 2012. (All amounts are in millions of dollars.)
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LO1•6
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|
 |
2012 |
2011 |
2010 |
|
Purchases of marketable securities Proceeds from maturities  of marketable securities |
$(151,232) Â 13,035 |
$(102,317) Â 20,437 |
$(57,793) Â 24,930 |
|
Proceeds from sales of marketable securities |
99,770 |
49,416 |
21,788 |
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Required
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1.       What amount did Apple spend in 2012 to purchase marketable securities? How does this amount compare to the amounts spent in the two prior years?
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2.       What amount did Apple receive from marketable securities that matured in 2012? How does this amount compare to the amounts received in the two prior years?
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3.       The third line in the preceding excerpt reports proceeds from sales, rather than maturities, of marketable securities. Why would certain types of marketable securities mature while others would be sold?
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