Expert Q&A Done Powell Panther Corporation Income Statements for Year Ending December 31 milions of dollara 2031 2030 12.000 1.200 132 EHITO 3 275 Dacation 200 tam bersama 33200 20.5 tras) 18 tes TO 22 23 Our 1331 Powell Panther Care Balance Shes of December of duttare) 2030 Ch NO 32 12 CD 14 22 B. literste le Total current assets $ 654.0 $ 560.0 Net plant and equipment 630.0 504,0 Total assets 51,294,0 $1.064.0 Liabilities and Equity Accounts payable $198.0 $ 180.0 Accruals 164.0 126,0 Notes payable 41.4 36.0 Total current abilities $ 403.4 $342.0 Long-term bonds 4142 360.0 Total abilities $ 817.4 $ 702,0 Common stock 422.8 329.6 Retained earrings 32.4 Common equity $426,6 $362.0 Total liabilities and equity 51,294,0 $1,064,0 Write out your answers completely. For example, 25 million should be entered as 25,000,000. Round your answers to the nearest dollar, if necessary. Negative values, if any, should be indicated by a minus sign a. What was net operating working capital for 2020 and 20217 Assume the firm has no excess cash. 2020: 5 2021: $ b. What was the 2021 free cash flow? $ C. How would you explain the large increase in 2021 dividends? 1. The large increase in net income from 2020 to 2021 explains the large increase in 2021 dividends. 11. The large increase in EBIT from 2020 to 2021 explains the large increase in 2021 dividends. III. The laron increase in free cash flow from 2020 to 2021 explains the large increase in 2021 dividends IV. The large increase in sales from 2020 to 2021 explains the large increase in 2021 dividends V. The large increase in retained earnings from 2020 to 2021 explains the large increase in 2021 dividends. Corporation is shown below: Powell Panther Corporation: Income Statements for Year Ending December 31 (millions of dollars) 2021 2020 Sales $2,070.0 $1,800.0 Operating costs excluding depreciation and amortization 1.604.0 1.530.0 EBITDA $ 466.0 $ 270.0 Depreciation and amortization 63.0 50.0 Earnings before interest and taxes (EBIT) $ 403.0 $ 220.0 Interest 45.5 39.6 Earnings before taxes (EBT) $ 357.5 $ 180.4 Taxes (25%) 143.0 22.2 Net income $ 214.5 $ 108.2 Common dividends $ 193.1 86.6 Powell Panther Corporation: Balance Sheets as of December 31 (millions of dollars) 2021 2020 Assets Cash and equivalents Accounts receivable Inventories Total current assets Net plant and equipment Total assets Liabilities and Equity Accounts payable $ 26.0 228.0 410.0 $ 664.0 630.0 $1,294.0 $ 20.0 198.0 342.0 $ 560.0 504.0 $1,064.0 $198.0 $ 180.0
