1. Calculate some key profitability, activity, leverage, liquidity, and market ratios for Apple and BlackBerry over time. 2. Conduct a dynamic firm profitability analysis over time (fiscal years 2008–2012) as shown in Exhibit 5.1. Can you find signs of performance differentials between these two firms that may have indicated problems at BlackBerry? When did BlackBerry’s performance problems become apparent? 3. Make a recommendation to Thorsten Heins, the CEO of BlackBerry, about actions he could take to improve firm performance. Key Financial Data for Apple and BlackBerry (fiscal years 2010–2012) There’s a more organized version of the table below in the text: Strategic Management Rothaermel 2e on pages 152-154: In millions of US$ (except for per share items): Apple Y/E Sep. 2012 Apple Sep 2011 Apple Sep. 2010    Blkbrry Mar. 2013    Blkbrry Mar. 2012     Blkbrry Mar. 2011 Total rev. 156,508                 108,249                   65,225 11,073                    18,423                    19,907 Cost of rev., total 87,846 64,431                    39,541 7,639                    11,848                     11,082 Gross profit 68,662 43,818                    25,684 3,434                     6,575 8,825 Selling/gen./admin 10,040 7,599 5,517 2,111                      2,600 2,400 Total operating exp 13,421 10,028 7,299 4,669                      5,078 4,189 Operating income    55,241 33,790 18,385 -1,235                      1,497 4,636 Income before tax 55,763 34,205 18,540 -1,220                     1,518 4,644 Income after tax    41,342 25,607 13,896 0                     1,429 3,405 Net income             41,733 25,922 14,013 -646                     1,164                       3,411 Diluted weighted avg shrs 945 937 925 524                        524                           538 Dividends per shr com. Stk 3 0 0 0                            0                               0 Diluted normalized EPS 44 28 15 -1 2                               6 Cash and equivalents 10,746 9,815 11,261 1,549                      1,527                       1,791 Short-term investments 18,383      16,137 14,359 1,105 247                          330 Cash & shrt-term invst 29,129 25,952 25,620 2,654                      1,774                      2,121 Accounts revble, trade net 10,930 5,369 5,510 2,353                      3,062                      3,955 Total receivables, net      18,69 11,717 9,924 2,625                      3,558                      4,279 Total inventory                    791 776 1,051 603                      1,027                         618 Total current assets       57,653 44,988 41,678 7,101                      7,071                      7,488 Prop./plant/eqpmt, ttl-nt 15,452 7,777 4,768 2,395                      2,733                      2,504 Accum depr., ttl Gdwill, net 1,135 896 741 0                         304                          508 Intangibles, net                4,224 3,536 342 3,448                      3,286                       1,798 Long-term investments  92,122 55,618 25,391 221                         337                          577 Other long-term assets, ttl 5,478 3,556 2,263 Total assets               176,064 116,371 75,183 13,165                   13,731                      12,875 Accounts payable        21,175 14,632 12,015 1,064 744                           832 Accrued expenses       11,414 9,247 5,723 1,842                     2,382                        2,511 Other current liabilities, ttl 5,953 4,091 2,984 542                        263                           108 Total current liabilities    38,542   27,970 20,722 3,448                      3,389                       3,630 Total long-term debt 0 0 0 0 0                               0 Total debt                               0            0 0 0 0                               0 Other liabilities, total      22,617 14,191 8,515 542 263                           108 Total liabilities                57,854   39,756 27…

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