HISTORICAL					FORECAST
Year End	2014	2015	2016	2017	2018	2019	2020	2021	2022
Income Statement (millions)
Revenues	341.00	355.25	361.15	375.15
Cost of Goods Sold	(187.55)	(195.20)	(198.70)	(213.85)
Selling & Administrative Expenses	(81.25)	(82.15)	(82.00)	(82.55)
Rental Payments	(28.25)	(28.25)	(28.25)	(28.25)
Depreciation	(25.75)	(20.30)	(21.20)	(22.10)
EBIT	18.20	29.35	31.00	28.40
Interest Expense	(11.00)	(7.25)	(8.35)	(8.42)
Interest Income	1.55	2.20	1.15	1.45
Taxable Income	8.75	24.30	23.80	21.43
Provision for Taxes (25%)	(2.19)	(6.08)	(5.95)	(5.36)
Net Income	6.56	18.23	17.85	16.07
Dividends	4.05	11.65	10.90	10.15
Ending Balance Sheet (millions)
Working Cash	17.05	17.75	18.16	23.91
Excess Cash & Marketable Securities	41.00	42.61	47.00	49.71
Accounts Receivable	31.50	33.50	35.75	37.20
Inventory	18.50	19.35	20.65	20.10
Current Assets	108.05	113.21	121.56	130.92
Property Plant & Equipment	155.30	162.30	169.00	177.15
Equity and other Investments	42.00	46.07	55.12	49.50
Total Assets	305.35	321.58	345.68	357.57
Accounts Payable	20.40	21.15	21.90	20.55
Accrued Liabilities	13.65	13.90	12.95	13.80
Defrerred Revenue	7.60	11.15	11.00	11.45
Short Term Debt	31.40	33.07	33.65	34.95
Notes Payable	16.50	17.28	18.00	19.56
Current Liabilities	89.55	96.55	97.50	100.31
Long Term Debt	85.65	88.30	91.00	93.66
Common Stock ($1 par)	5.00	5.00	6.00	6.50
Paid-in Capital	60.00	60.00	72.50	72.50
Retained Earnings	65.15	71.73	78.68	84.60
Total Liabilities & Equity	305.35	321.58	345.68	357.57
Valuation Indices
NOPAT (Operating)	13.65	22.01	23.25	21.30
NOPAT (Financing)	13.65	22.01	23.25	21.30
Invested Capital (Operating)	180.70	186.70	197.71	212.56
Invested Capital (Financing)	180.70	186.70	197.71	212.56
ROIC		12.18%	12.45%	10.77%
FCF		16.02	12.24	6.45
Note the above figures are unadjusted for Operating Leases

Industry Sector	Auto Parts
Forecasting Drivers
Income Statement	COGS	SG&A	Depreciation	Interest Exp	Interest Income	Dividends
4 or 3 year average of	COGS/Sales	SG&A/Sales	DEP t+1/PP&E t	INT t+1 / DEBT 1	2% of Excess Cash & M/S	Div/NI
Income Statement	Working Cash	AR	Inv	PP&E	Equity Investments	NIBCLs
4 or 3 year average of	Working Cash / Sales	AR / Sales	Inv/COGS	PP&E / Sales	NONE	Item / Sales
Capital Markets & Cost of Capital
Bond Rating	BBB		Marginal Tax Rate	25%
Share Price Dec 31, 2017	$36.40		Shares Outstanding 12/31/2017		6,500,000
Industry Forecast Attributes
Projected Sales Increase Years 1 & 2	4.50%
Projected Sales Increase Year 3 - 5	4.00%
Projected Sales Increase beyond horizon	3.00%
Operating Leases
Annual Rental Payment (2018-2022) covered by Operating Leases	$28.25 million
Termination of Current Lease Agreements	12/31/22

First, note that your figures will need to be adjusted for Operating Leases prior to calculating Adjusted ROIC and WACC. Second, don't forget to use mid-year discounting once you have arrived a preliminary estimate of Value. Third, don't forget you will need an estaimte of Horizon Value at the end of the forecast period.

However you choose to compute your WACC, include a BRIEF explanation of how you determined the Cost of Debt, the Levered Beta, and the Cost of Equity. A couple of sentences should do the job.

However, you choose to organize your work, it is best to align your work - both in the Historical and Forecast periods by year. Thus, however you choose to arrive at the WACC and the Value, both should be shown in Column E (2017) as that year is the end of the Historical Period and thus the beginning of the Forecast period.

1. Complete a 5 year forecast beginning Jan 1, 2018

2. Estimate the Weighted Average Cost of Capital as of Dec 31, 2017

3. Provide an estimate of the Value of the firm as of Dec 31, 2017 using either the EVA or FCF approach (or both, if you wish to verify your work).