#17 and #18.

Use the following information/data to answer the next two questions Marsh Balance Sheet Cash Accounts Receivable Inventory 2005 2004 2005 2004 200 Accounts Payables 1,700 1,400 1,000 Short-term Debt 1800 1.500 Other Current Liabilities 850 100 400 300 1,450 1,250 6,000 5,750 2,250 2,500 900 150 Total Current Assets Net Fixed Assets Non-Operating Assets 4,900 2,700 Total Current Liabilities 9,500 10,500 Long-term Debt 1100 1300 Non-Operating Liabilities Total Equity 5,800 5,000 Total Assets 15,500 14,500 Total Equity and Debt15,500 15,500 14,500 Tax Rate 35% Income Statement Sales COGS 12,000 8,500 700 1000 1,800 300 525 975 300 SG&A Depreciation EBIT Interest Expense Taxes Net Income Dividends 17 What is free cash flow (FCF) for Marsh? 18 How much in new equity did Marsh issue? (The following information applies to the next four problems.) The president of Real Time Inc. has asked you to evaluate the computer's price is $40,000, and it falls into the MACRS 3-yea of the computer would require an increase in net working capi analysis (assume that this will be captured back only at the ve increase the firm's before-tax revenues by $20,000 per year bu $5,000 per year. The computer is expected to be used for 3 yea marginal tax rate is 40 percent, and the project's cost of capital