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3. The balance sheet in the table below summarizes the financial conditions for Flex Inc., an clectronic outsourcing contractor, for fiscal year 2009. Compute the various financial ratios and interpret the firm's financial health during fiscal year 2009. Note that the balance sheet and the income statement entries in this problem are not complete. Only relevant entries are listed. Do not attempt to add individual entries to confirm either current assets or current liabilities. (a) Debt ratio (b) Times-interest-earned ratio (c) Current ratio (d) Quick (acid-test) ratio (c) Inventory tumover ratio (1) Day's sales outstanding (g) Total assets turnover (h) Profit margin on sales Retum on total assets Retum on common equity (k) Price-to-camings ratio. Assume a stock price of US$65 per share. (1) Book value per share. Assume that 247,004,200 shares were outstanding. I Balance Sheet for Flex Inc. Dec. 2009 U.S. S Balance Sheet Summary (Year) Cash 1.325.637 Securities 362.769 Receivables 1.123.901 Allowances 5.580 Inventory 1,080,083 Current assets 3,994,084 Dec. 2008 U.S.S (Year) 225,228 83.576 674.193 -3.999 788,519 1.887,558 Property and equipment, nct Depreciation Total assets 1,186,885 533,311 4,834,696 859,831 -411.792 2,410,568 Current liabilities 1,113,186 1 840,834 922,653 385,519 Bonds Preferred stock Common stock Other stockholders' equity Total liabilities and equity 271 2.792,820 4.834,696 1 17 1,181,209 2.410.568 Income Statement Summary Total revenues Cost of sales Other expenses Loss provision Interest expense Income pre-tax Income tax Income continuing Net income EPS primary EPS diluted 8.391,409 7,614,589 335,808 2143 36,479 432,342 138,407 293,935 293,935 $1.19 $1.13 5.288.294 4.749,988 237,063 2254 24,759 298.983 100.159 198.159 198.159 $1.72 $1.65

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