Start with the partial model in the file Ch12 P11 Build a Model.xlsx on the textbook’s Web site

1.Ogier Incorporated currently has $900 million in sales, which are projected to grow by 8% in...

1.Ogier Incorporated currently has $900 million in sales, which are projected to grow by 8% in Year 1 and by 4% in Year 2. Its operating profitability (OP) is 7%, and its capital requirement (CR) is 65%. Do not round intermediate calculations. Enter your answers in millions. For example, an answer of $1 million should be entered as 1, not 1,000,000. Round your answers to two decimal places. What are the projected sales in Years 1 and 2? Sales in...

You’re an industry analyst for the telecom sector and have been analyzing financial reports from two...

You’re an industry analyst for the telecom sector and have been analyzing financial reports from two companies: BlastTel Inc. and SaneTel Corp. The corporate tax rate for both firms is 35%. Your associate analyst has calculated and compiled, in the following table, a list of important figures you’ll probably need for the analysis: Data Collected BlastTel Inc. SaneTel Corp. EBIT $107,500 $76,540 Depreciation $43,000 $30,616 Total operating capital $632,100 $493,210 Net investment in operating capital $301,000 $159,100 WACC 8.84% 11.50%...

Following are Cisco Systems’ sales, net operating profit after tax (NOPAT), and net operating assets (NOA)...

Following are Cisco Systems’ sales, net operating profit after tax (NOPAT), and net operating assets (NOA) for its year ended July 31, 2016 ($ millions). Sales $48,136 Net operating profit after tax (NOPAT) 10,349 Net operating assets (NOA) 25,880 Use the parsimonious method to forecast Cisco’s sales, NOPAT, and NOA for years 2017 through 2020 using the following assumptions. Sales growth per year 1.0% for 2017 and 2.0% thereafter Net operating profit margin (NOPM) 21.5% Net operating asset turnover (NOAT),...

Projecting NOPAT and NOA Using Parsimonious Forecasting Method Following are Cisco Systems’ sales, net operating profit...

Projecting NOPAT and NOA Using Parsimonious Forecasting Method Following are Cisco Systems’ sales, net operating profit after tax (NOPAT), and net operating assets (NOA) for its year ended July 31, 2016 ($ millions). Sales $51,469 Net operating profit after tax (NOPAT) 11,066 Net operating assets (NOA) 27,672 Use the parsimonious method to forecast Cisco’s sales, NOPAT, and NOA for years 2017 through 2020 using the following assumptions. Sales growth per year 1.0% for 2017 and 2.0% thereafter Net operating profit...

Sand Technologies: Income Statements for Year Ending December 31            (in thousands)          ...

Sand Technologies: Income Statements for Year Ending December 31            (in thousands)           2019   2018   Sales               $945,000   $880,000   Expenses excluding depreciation and amortization   822,150   730,400   EBITDA               $122,850   $149,600   Depreciation and amortization       32,400   31,500   EBIT               $90,450   $118,100   Interest Expense           10,470   8,600   EBT               $79,980   $109,500   Taxes (40%)               31,992   43,800   Net income           $47,988   $65,700                         ...

Following are Cisco Systems’ sales, net operating profit after tax (NOPAT), and net operating assets (NOA)...

Following are Cisco Systems’ sales, net operating profit after tax (NOPAT), and net operating assets (NOA) for its year ended July 31, 2016 ($ millions). Sales $49,247 Net operating profit after tax (NOPAT) 10,575 Net operating assets (NOA) 26,472 Use the parsimonious method to forecast Cisco’s sales, NOPAT, and NOA for years 2017 through 2020 using the following assumptions. Sales growth per year 1.0% for 2017 and 2.0% thereafter Net operating profit margin (NOPM) 21.5% Net operating asset turnover (NOAT),...

QUESTION 2 Incorrect Mark 0.00 out of 16.00 Flag question Question text Projecting NOPAT and NOA...

QUESTION 2 Incorrect Mark 0.00 out of 16.00 Flag question Question text Projecting NOPAT and NOA Using Parsimonious Forecasting Method Following are Cisco Systems’ sales, net operating profit after tax (NOPAT), and net operating assets (NOA) for its year ended July 31, 2016 ($ millions). Sales $49,247 Net operating profit after tax (NOPAT) 10,575 Net operating assets (NOA) 26,472 Use the parsimonious method to forecast Cisco’s sales, NOPAT, and NOA for years 2017 through 2020 using the following assumptions. Sales...

Horizon Value Current and projected free cash flows for Radell Global Operations are shown below. Actual...

Horizon Value Current and projected free cash flows for Radell Global Operations are shown below. Actual 2013 2014 Projected 2015 2016 Free cash flow $616.04 $676.72 $716.77 $766.94 (millions of dollars) Growth is expected to be constant after 2015, and the weighted average cost of capital is 12%. What is the horizon (continuing) value at 2016 if growth from 2015 remains constant? Round your answer to the nearest dollar. Round intermediate calculations to two decimal places.

FREE CASH FLOW Arlington Corporation's financial statements (dollars and shares are in millions) are provided here....

FREE CASH FLOW Arlington Corporation's financial statements (dollars and shares are in millions) are provided here. Balance Sheets as of December 31 2016 2015 Assets Cash and equivalents $  14,000 $  11,000 Accounts receivable 25,000 20,000 Inventories 21,520 19,000   Total current assets $ 60,520 $ 50,000 Net plant and equipment 51,000 49,000 Total assets $111,520 $99,000 Liabilities and Equity Accounts payable $ 10,600 $  9,500 Accruals 7,000 5,000 Notes payable 6,900 5,300   Total current liabilities $ 24,500 $ 19,800 Long-term bonds 10,000 10,000...

: Below is The Ranch Corporation’s income statement and two balance sheets: The Ranch Corp The...

: Below is The Ranch Corporation’s income statement and two balance sheets: The Ranch Corp The Ranch Corp Income Statement for Balance Sheet as at 30 June period ending 30 June 2016 2016 2015 Net sales 100 Inventory 12 8 COGS 16 PPE 320 300 Depreciation 15 Total assets 332 308 Electricity expense 14 Interest expense 15 Long term loan liabilities 150 150 Taxable income 40 Contributed equity 44 44 Taxes 12 Retained profits 138 114 Net income 28 Total...