Rhodes Corporation: Income Statements for Year Ending December 31 (Milli 2018 2017 Sales $1,950.0 $1,500.0 Operating costs excluding depreciation 1,609.0 1,275.0 Depreciation and amortization 50.0 45.0 Earnings before interest and taxes $291.0 $180.0 Less Interest 42.0 32.0 Pre-tax income $249.5 $148.0 Taxes (40%) 99.6 59.2 Net income available to common stockholders $149.4 $88.8 Common dividends $134.0 $71.0 Rhodes Corporation: Balance Sheets as of December 31 (Millions of Dollars) 2018 2017 Assets Cash $17.0 $20.0 10.0 Short-term investments 8.0 165.0 215.0 Accounts receivable Inventories 285.0 Total current assets Net plant and equipment Total assets 356.0 $601.0 495.0 $475.0 450.0 $1,096.0 $925.0 $176.0 $135.0 120.0 156.0 Liabilities and Equity Accounts payable Accruals Notes payable Total current liabilities Long-term debt Total liabilities 39.0 30.0 $371.0 390.0 $285.0 300.0 $761.0 $585.0 2018 2017 Assets $20.0 $17.0 Cash Short-term investments Accounts receivable Inventories 10.0 8.0 215.0 165.0 356.0 285.0 $601.0 $475.0 Total current assets Net plant and equipment Total assets 495.0 450.0 $1,096.0 $925.0 $135.0 $176.0 156.0 120.0 30.0 39.0 Liabilities and Equity Accounts payable Accruals Notes payable Total current liabilities Long-term debt Total liabilities Common stock Retained earnings Total common equity Total liabilities and equity $371.0 390.0 $285.0 300.0 $585.0 $761.0 292.6 313.0 42.4 27.0 $335.0 $340.0 $1,096.0 $925.0 a. What is the net operating profit after taxes (NOPAT) for 2018? Enter your answer in millions. For example, an answer of $1.2 million should be entered as 1.2, not 1,200,000. Round your answer to one decimal place $ 174.6 million b. What are the amounts of net operating working capital for both years? Enter your answers in milions. For example, an answer of 61 million should be entered at 1, not 1,000,000 Round your answers to the nearest whole number 2018: million 2017: 5 212 million C. What are the amounts of total net operating capital for both years? Enter your answers in millions. For example, an answer of $1 million should be entered as 1. not 1,000,000. Round your answers to the nearest whole number, 2018: $ 725 million 2017: 5 662 million d. What is the free cash flow for 2018? Enter your answer in millions. For example, an answer of $1.2 million should be entered as 1.2, not 1,200,000. Cash outflow, if any, should be Indicated by a minus sign. Round your answer to one decimal place. 5 139.6 milion a. What is the ROIC for 20187 Round your answer to two decimal places 20.60 f. How much of the FCF did Rhodes use for each of the following purposes: after tax interest, net debt repayments, dividends, net stock repurchases, and net purchases of short-term Investments? (Hint: Remember that a net use can be negative.) Enter your answer in millions. For example, an answer of $1.2 milion should be entered a 1.2. not 1.200,000, found your answers to one decimal place After-tax interest payment 25.2 millon Reduction (increase) in debt x millon Payment of dividends $ 134.0 million Repurchase (Issue) stock 20.4 million Purchase (Sole) of short-term investments 2,000, million
