9. Evaluating free cash flows and return on invested capital 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 caiculated and compiled, in the following table, a list of important figures you'li probably need for the analysis: In your analysis, you want to look for several characteristics-one of them being the return on invested capitai (RoIC). Using the information available, complete the following statements: - BlastTel Inc, has a free cash flow than SaneTel Corp, does. - The net operating profit after tax (NOPAT) for BlastTel Inc. is - Whereas the NOPAT for SaneTel Corp. is - BlostTel Inc. has a return on invested capital of , whereas, SaneTel Corp. has a return on invested capital of Your inference from the analysis is that both firms are in a high-growth phase, and their growth will be profitable. Consldering your analysis, which of the following statements is true? If RolC is less than the rate of return that investors require, which is the weighted average cost of capital (WacC), then the firm is adding value. If ROIC is greater than the rate of return that investors require, which is the weighted average cost of capital (Wacc), then the firm is adding value