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Free Cash Flows Rhodes Corporation's financial statements are shown below. Rhodes Corporation: Income Statements for Year Ending December 31 (Millions of Dollars) 2022 2021 Sales

Free Cash Flows

Rhodes Corporation's financial statements are shown below.

Rhodes Corporation: Income Statements for Year Ending December 31 (Millions of Dollars)

2022 2021
Sales $ 11,000 $ 10,000
Operating costs excluding depreciation 9,608 8,718
Depreciation and amortization 320 310
Earnings before interest and taxes $ 1,072 $ 972
Less interest 280 200
Pre-tax income $ 792 $ 772
Taxes (25%) 198 193
Net income available to common stockholders $ 594 $ 579
Common dividends $ 203 $ 200

Rhodes Corporation: Balance Sheets as of December 31 (Millions of Dollars)

2022 2021
Assets
Cash $ 650 $ 600
Short-term investments 230 200
Accounts receivable 2,750 2,500
Inventories 1,950 1,800
Total current assets $ 5,580 $ 5,100
Net plant and equipment 3,650 3,500
Total assets $ 9,230 $ 8,600
Liabilities and Equity
Accounts payable $ 1,300 $ 1,200
Accruals 650 600
Notes payable 196 100
Total current liabilities $ 2,146 $ 1,900
Long-term debt 1,300 1,200
Total liabilities $ 3,446 3,100
Common stock 4,393 4,500
Retained earnings 1,391 1,000
Total common equity $ 5,784 $ 5,500
Total liabilities and equity $ 9,230 $ 8,600

Suppose the federal-plus-state tax corporate tax is 25%. Answer the following questions.

What is the net operating profit after taxes (NOPAT) for 2022? Enter your answer in millions. For example, an answer of $1 million should be entered as 1, not 1,000,000. Round your answer to the nearest whole number.

$ million

What are the amounts of net operating working capital for both years? Enter your answers in millions. For example, an answer of $1 million should be entered as 1, not 1,000,000. Round your answers to the nearest whole number.

2022: $ million

2021: $ million

What are the amounts of total net operating capital for both years? Enter your answers in millions. For example, an answer of $1 million should be entered as 1, not 1,000,000. Round your answers to the nearest whole number.

2022: $ million

2021: $ million

What is the free cash flow for 2022? Enter your answer in millions. For example, an answer of $1 million should be entered as 1, not 1,000,000. Cash outflow, if any, should be indicated by a minus sign. Round your answer to the nearest whole number.

$ million

What is the ROIC for 2022? Round your answer to two decimal places.

%

How much of the FCF did Rhodes use for each of the following purposes: after-tax interest, net debt repayments, dividends, net stock repurchases, and net purchases of short-term investments? (Hint: Remember that a net use can be negative.) Enter your answers in millions. For example, an answer of $1 million should be entered as 1, not 1,000,000. Round your answers to the nearest whole number.

After-tax interest payment $ million
Reduction (increase) in debt $ million
Payment of dividends $ million
Repurchase (Issue) stock $ million
Purchase (Sale) of short-term investments $ million

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