Balance Sheets: 2019 2018 Cash and equivalents $ 120 $ 105 Accounts receivable 275 300 Inventories 375 350 Total current assets $ 770 $ 755 Net plant and equipment Total assets 2,000 1,490 $2,770 $2,245 Accounts payable $ 150 $ 85 Accruals 75 50 Notes payable 170 195 Total current liabilities $ 395 $ 330 Long-term debt 450 290 Common stock 1,225 1,225 Retained earnings 700 400 Total liabilities and equity $2,770 $2,245 Income Statements: 2019 2018 Sales $1,885 $1,425 Operating costs excluding depreciation 1,250 1,000 EBITDA Depreciation and amortization EBIT $ 635 $ 425 100 75 $ 535 $ 350 Interest EBT Taxes (25%) 63 46 $ 472 $ 304 118 76 Net income $ 354 $ 228 Dividends paid $ 54 $ 48 Addition to retained earnings $ 300 $ 180 Shares outstanding Price 100 100 $25.00 $22.50 WACC 10.00%