Estimating Shore Value Using the ROPI Model Assume following are forecasts of Abercrombie & Fitch's sales, net operating profit after tax (NOPAT), and net operating assets (NCA) as of January 29, 2011, Refer to the information in the table to answer the following requirements. Reported Horizon Period (in Millions) 2011 2012 2014 2015 Terminal Period 53.750 $4.500 5.400 $ 6.480 $ 7,776 57.853 686 825 948 1,944 2.289 2.780 2.806 2013 Sales NOPAT NOA 664 1.333 578 1.612 a Answer the following requirements assuming a discount rate (WACC) of 13.3%, a terminal period growth rate of 1%, common shares outstanding of 86.2. million, and net nonoperating obligations (NNO) of $(255) million (negative NNO reflects net nonoperating assets such as investments rather than net obligations) (a) Estimate the value of a share of Abercrombie & Fitch common stock using the residual operating income (ROPI) model as of January 29,2011 Rounding Instructions: Round answers to the nearest whole number unless noted otherwise Use your round answers for subsequent calculations Do not use negative signs with any of your answers Horizon Period 2013 472 0.779 Terminal Period 5,299 x 2014 566 0.68756 389 2015 6414 060685 191 Do not use negative signs with any of your answers. Reported (in millions 2011 2012 ROPI (NOPATINOABegru 401 Discount factor (1/(1+rwit tround 5 decimal places 0.68261 Present value of horizon ROP Cum present value of horizon ROPIS 1.502 Present value of terminal ROPI 368 x NOA 1,320 x Total firm value 6.109 X NINO (261) Firm equity value 5 5.848 X Shares outstanding in ons 16.2 round one decimal place) Stock price per share 5 55.79 tround two decimal places)