Please assist me in determining the following:

• invested capital
• classifying excess cash
• financial assets
• deferred taxes
• pension
• assets held for sales as non-operating
• Classify other operating assets and liabilities as operating
• separate operating working capital from long-term (net) assets
• Compute invested capital with and without goodwill and acquired intangibles.
• calculate total funds invested
• add nonoperating assets to invested capital

This the question the professsor assigned:

1. Calculating invested capital and total funds invested:Reorganize the balance sheet into invested capital, total funds invested, and sources of financing.

To determine invested capital, subtract operating liabilities (stakeholder capital) from operating assets (used for core operations). Classify excess cash (cash greater than 2 percent of revenues), financial assets, deferred taxes (sometimes called income tax provisions), pensions, and assets held for sales as nonoperating (either as a nonoperating asset, a debt equivalent, or an equity equivalent). Each of these assets (or debt/equity equivalents) is an important component of the final value but must be analyzed and valued separately. Classify other operating assets and liabilities as operating. When determining invested capital, separate operating working capital from long-term (net) assets. Compute invested capital with and without goodwill and acquired intangibles.To calculate total funds invested, add nonoperating assets to invested capital. For ease of interpretation, net the company's financial liabilities against financial assets, both current and noncurrent. Otherwise, treat debt and equity equivalents as sources of financing.

These are the charts the professor provided Note 6, Note 7, Note 9

pg 91 Note 6

operating income in million euros

2008 2009

Gains on disposal of non-current assets 14 10

Profits on sale of businesses 8 -

Income from release of provisions 44 38

Income from release of valuation allowances for doubtful debts 6 2

Write-ups of non-current assets - 3

Sundry operating income 88 87

Pg 97 Note 7

Other operating charges 2008 2009

Write-downs of miscellaneous assets 4 -

Losses on disposal of non-current assets 17 22

Goodwill impairment losses - 46

Sundry operating expenses 54 97

Total 75 165

Pg 92 Note 9

Taxes on income

Earnings before taxes on income and analysis of taxes 2008 2009

Earnings before tax 1627 885

Current taxes 570 239

Deferred taxes -176 18

Taxes on income 394 257

Main components of tax expense and income 2008 2009

Current tax expense / income in the reporting year -13 -20

Deferred tax expense / income from temporary differences -144 47

Deferred tax expense / income from changes in tax rate 5 3

Increase / decrease in valuation allowances on deferred tax assets 8 -13