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 following statements:

The net operating profit after tax $($NOPAT$)$ for CellT Corp. is

$,$ whereas the NOPAT for Talk$2$Me Inc. is

CellT Corp. has a free cash flow of

$\_,$ whereas, Talk$2$Me Inc. has a free cash flow of

CellT Corp. has a

return on invested capital than Talk$2$Me Inc. has.

Your inference from the analysis 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?

If a company has negative NOPAT but a positive free cash flow, then the firm could be in a high$-$growth phase and making investments in

operating capital to support growth.

If a company has positive NOPAT but a negative free cash flow, then the firm could be in a high$-$growth phase and making investments in

operating capital to support growth.