La Jarir Marketing Co.: Income Statement and Balance Sheet ... Al figures are in Thousands 2018 2017 2018 2017 Balance sheet (Assets) Quick assets (cash. Accounts receivable) 700,239 550338 Income statement Revenues Cost of sales Selling costs Depreciation Operating income 7.361.723 (6.247,901 (199,314) 1987) 913,521 6.941 935 (5,904,694) (198,568 13.902) 834,771 Inventories Current assets 1.057.573 1.75 7.912 947945 1.493.283 1.115.297 341,705 3.214,914 1075,688 303 159 2577,130 Property, plant & equipment Investments Totalassets (3.977) 64 698 974 242 Interest expense Gain on sale Earnings before taxes (901) 41.267 875,137 Zakat Net income (14 250) 959.992 (2475) 867,659 Prior year 1.36 4,006 Current year 1,102,652 Balance sheet (Liabilities) Current abilities Non-Current libres Equity Liabilities and equity 151.491 1.699417 3.214914 148.435 1.526,043 2.877,130 Exhibit above presents the actual income statement and balance sheet for Jarir Marketing Co. a seven-billion- riyal company listed in Tadawul under the Retail category. a) Compute NOPLAT (2.5 points) b) Compute the average invested capital(2.5 points) c) Compute the ROIC. (2.5 points) I d) If the weighted average cost of capital is 10 percent, is the company creating value? (2.5 points) You can assume an operating tax rate of 25 percent and a marginal tax rate of 35 percent. Use the editor to format your answer Total assets 3.214,914 2.877,130 Interest expense Gain on sale Earnings before taxes 54 598 974 242 41.267 875.137 Zalat Net income 114250) 959,992 (1478) 357,659 Prior year 1.364,005 Current year 1,102,652 Balance sheet Llabitles) Current habilities Non-Current les Equity Liabilities and equity 151491 1,699417 3.214,914 148,435 1,626,043 2877.130 The Exhibit above presents the actual income statement and balance sheet for Jarir Marketing Co. a seven- billion-riyal company listed in Tadawul under the Retail category. a) Compute NOPLAT, (2.5 points) b) Compute the average invested capital, (2.5 points) c) Compute the ROIC. (2.5 points) d) If the weighted average cost of capital is 10 percent, is the company creating value? (2.5 points) You can assume an operating tax rate of 25 percent and a marginal tax rate of 35 percent. Jarrir Case study on ROIC Template.xlsx