To answer the questions you will need to download Netflixs Form 10-k for the year ended December 31, 2005 at www.sec.gov/edgar/searcjedgar/companysearch.html. Once at this website, input CIK code 105280 and hit enter. In the gray box on the right-hand side of your computer screen define the scope of your search by inputting 10-K and then pressing enter. Select the 10-K with a filing date of March 16, 2006. 1. What is Netflixs strategy for success in the marketplace? Does the company rely primarily on a customer intimacy, operational excellence, or product leadership customer value proposition? What evidence supports your conclusion? 2. What business risks does Netflix face that may threaten the companys ability to satisfy stockholder expectations? Of the risks that you have identified, which ones are controllable and which ones are largely uncontrollable? (Hint: focus on pages 8-20 of the 10-K) 3. Prepare a comparative balance sheet. (Use Netflixs data from 2004 and 2005) For each account shown on Netflixs balance sheet, calculate the change in the balance and whether the change represents a source or a use of cash. 4. Explain how each change shown in your comparative balance sheet is accounted for in Netflixs 2005 statement of cash flows