Refer to the most recent 10-Ks (Year Ended in 2022) for Apple Inc. and Alphabet Inc.
NOTE #1: Some answers are numerical, fill-in the blanks. Please adjust all answers for the units, and include the ‘,’ separators (e.g., 11 million or 11,000 thousand should be entered as 11,000,000), if required.
NOTE #2: Alphabet Inc released their updated FY 2022 10-K. Use this most updated filing for your answers.
Q1) Refer to Note 6, in the “Notes to Consolidated Financial Statements” for Apple.
For the year ended 2022, what was the balance for Apple’s Right-of-Use Assets?
1 – Search for “Note 6” to go directly to this note.
2 – Look just above the table. What units do the numbers represent? Since the amounts are in “In millions,” add six zeros to your answer.
3 – Verify that you are looking at the 2022 column.
Q2) Refer to Note 6, in the “Notes to Consolidated Financial Statements” for Apple.
What was the discount (interest) rate used to calculate the Lease Liability?
Enter the answer as either a percentage or as a decimal place (e.g., 10% may be entered as either 10 or 0.10).
1 – Search for “Note 6” to go directly to this note.
2 – This will be within the paragraph of the note, and not in a given table.
Q3) Refer to Note 4, in the “Notes to Consolidated Financial Statements” for Apple.
For the year ended 2022, what was the balance for Apple’s Leasehold Improvements account?
1 – Search for “Note 4” to go directly to this note.
2 – Look just above the table. What units do the numbers represent? Since the amounts are in “In millions,” add six zeros to your answer.
3 – Verify that you are looking at the 2022 column.
Q4) Refer to Note 6, in the “Notes to Consolidated Financial Statements” for Apple.
Where (what line item) does Apple report their Right-of-Use Assets for Operating Leases?
1 – Search for “Note 6” to go directly to this note.
2 – Read the “Lease-Related Assets and Liabilities” table. Under the column “Financial Statement Line Items,” you will find where Apple puts their ROU Assets for Operating Leases.
Q5) Refer to Note 4 and Note 6, in the “Notes to Consolidated Financial Statements” for Alphabet.
For the year ended 2022, what was the balance for Alphabet’s Lease Liability?
NOTE: Alphabet has released their 2022 financial statements. Please use these statements for this and future questions.
This question is a bit more complicated than the others. Alphabet discloses their lease liabilities in two places, Note 4 – Leases & Note 6 – Long-Term Debt. You will need to add the two balances together.
1 – Search for “Note 4” and then “Note 6) to go directly to these notes.
2 – Look just above the tables. What units do the numbers represent? Since the amounts are in “In millions,” add six zeros to your answer.
3 – Note 4 – Look at the table listing the “Future Lease Payments.” What is the balance at the bottom of this table?
4 – Note 6 – Look at the “Total Long-Term Debt” table. Use the “Future Lease Payments” amount for this answer.
5 – Add both balances from Note 4 and Note 6 to get the answer to this question.
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Q6)Refer to Note 4, in the “Notes to Consolidated Financial Statements” for Alphabet.
What was the weighted average discount rate used to calculate the Operating Lease Liability?
NOTE: Alphabet has released their 2022 financial statements. Please use these statements for this, and future questions.
Enter the answer as either a percentage or as a decimal place (e.g., 10% may be entered as either 10 or 0.10).
1 – Search for “Note 4” to go directly to this note.
2 – This will be within the paragraph of the note, and not in a given table.
__________________
Q7) Refer to Note 7, in the “Notes to Consolidated Financial Statements” for Alphabet.
For the year ended 2022, what was the balance for Alphabet’s Leasehold Improvements Account?
NOTE: Alphabet has released their 2022 financial statements. Please use these statements for this, and future questions.
1 – Search for “Note 7” to go directly to this note.
2 – Look just above the table. What units do the numbers represent? Since the amounts are in “In millions,” add six zeros to your answer.
3 – Verify that you are looking at the 2022 column.
__________________
Q8) Refer to Note 1, in the “Notes to Consolidated Financial Statements” for Alphabet, subheading “Leases.”
Where (what line item) does Alphabet report their Right-of-Use Assets for Finance Leases?
NOTE: Alphabet has released their 2022 financial statements. Please use these statements for this, and future questions.
1 – Search for “Note 1” to go directly to this note.
2 – Look for the bolded “Leases” subheading.
3 – Read the four (4) paragraphs to identify where Alphabet includes their Finance Lease Liabilities. Remember, there is a difference between Finance Leases and Operating Leases. This questions is specific to Alphabet’s Finance Leases.
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