Contents

1- Current Scenario at Apple, Inc 2- Introduction to Capital Budgeting 3- Key Techniques of capital Budgeting 4- Payback Period 5- Accounting Rate of Return 6- Cash go for the company 7- Corporate overview 8- Financial trends 9- Market Cap Outlook 10- Fields of Competition 11- Differentiating factor 12- Financial Outlook 13- Financial statement 14- References

Current Scenario at Apple, Inc:
As of the end of financial year 2011, Apple incorporation has no long term debt in their balance sheet. Company is funded by its own cash and the equity capital that company has strengthened over the years. The market portfolio of the company has seen huge success and this has been the reason for company utilizing its cash for both shareholders wealth and also for keeping the increased investment and innovation going. It is very interesting to have a look at the patterns in which the company has managed its capital budgeting. Capital budgeting is an important decision for any corporation and same is the case with Apple Inc. Organization now needs to evaluate its future strategy on the basis of capital budgeting decision that it makes.
Introduction to Capital Budgeting:
The exercise conducted by business enterprises to determine whether projects like construction of a new plant or investment in a long-term venture would result in profitable gains is called capital budgeting. Projects which have long gestation periods are evaluated based on their future returns, unless, the project is purely for social welfare. Thus, businesses would make their investment decisions based on the future viability and capacity of a project to earn profits. It is advisable to calculate the estimated returns of the project, so that the business enterprise can weigh it other options (like making a fixed deposit and earning