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Question 8 (20 points) Use a cost of capital for operations of 9%. Sales revenue is forecasted to grow at a 6% rate per year

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Question 8 (20 points) Use a cost of capital for operations of 9%. Sales revenue is forecasted to grow at a 6% rate per year in the future, on a constant asset turnover of 1.25. Operating profit margins of 14% are expected to be earned each year. a. Forecast return on net operating assets (RNOA) for 2003. b. Forecast residual operating income for 2003. C. income methods. Question 8 (20 points) Use a cost of capital for operations of 9%. Sales revenue is forecasted to grow at a 6% rate per year in the future, on a constant asset turnover of 1.25. Operating profit margins of 14% are expected to be earned each year. a. Forecast return on net operating assets (RNOA) for 2003. b. Forecast residual operating income for 2003. C. income methods

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