Home Grades Personalized Reviews Discussion Course Materials Financial Statements, Cash Flow, and Taxes Graded AssignmentIRead Chapter 21Back P Due Saturday os1217 ng free cash news and return on invested capital 9. Evaluati You are an industry analyst for the telecom sector. You are analyzing inanoal reportsfrom two oomeanies Talker Corp. and Mobaerak Inc. Corporate tax for both frms is 3sni Your assooate analyst has alo lated and compaed. figures you need for the analysis: Talker Corp. Mobile Talk Inc. $266,500 $87,945 Total operating capital $32,175 $1.170,000 Net investment in operating capital $585,000 $253,500 In your analysis, you want to look for several characteristics-one of them being the return on invested capital (ROIC). Using the information available, complete the folowing statements The net operating profit after tax (NOPAT) for Talker Corp. is for MobileTalk Inc. is whereas the NOPAT Talker Corp. has a free cash fow of whereas, Mobil Talk Inc. has free cash Taller Corp. has a return on invested capital than Mobile Talk Inc. has. Your inference from the analyss is that both firms are in a high-growth phase, and their growth will be profitable. Considering your analysis, which of the following statements is true? 1fRoec is less than the rate of return that investors require, which is the weighted average cost of capital (WACC) then the firm is adding value. o Roocis that investors require, which is "eghted average cost of captal (WACC, then the firm is adding value. 10:00 PM