See Table 2.5 showing financial statement data and stock price data for Mydeco Corp. Suppose Mydeco's costs and expenses had been the same fraction of revenues in 2016-2019 as they were in 2015. What would Mydeco's EPS have been each year in this case? Calculate the new EPS for 2016-2019 below: (Round dollar amounts and number of shares to one decimal place. Round percentage amount and the EPS to two decimal places.) Year 2016 $ Revenue (millions) Net Profit Margin % $ New Net Income (millions) Shares Outstanding (millions) New EPS 2019 604.5 (291.9) 312.6 (121.7) (79.6) (38.0) 73.3 (41.1) 32.2 (11.3) 20.9 53.6 $0.39 2019 2015-2019 Financial Statement Data and Stock Price Data for Mydeco Corp. (All data as of fiscal year end; in $ millions) Income Statement 2015 2016 2017 2018 Revenue 400.3 365.2 427.2 513.2 Cost of Goods Sold (186.5) (173.7) (210.7) (244.9) Gross Profit 213.8 191.5 216.5 268.3 Sales and Marketing (65.3) (67.1) (81.5) (105.9) Administration (59.8) (61.0) (61.4) (66.3) Depreciation & Amortization (26.2) (25.8) (35.6) (39.8) EBIT 62.5 37.6 38.0 56.3 Interest Income (Expense) (32.0) (33.3) (31.0) (36.2) Pretax Income 30.5 4.3 7.0 20.1 Income Tax (10.7) (1.5) (2.5) (7.0) Net Income 19.8 2.8 4.5 13.1 Shares Outstanding (millions) 53.6 53.6 53.6 53.6 Earnings per Share $0.37 $0.05 $0.08 $0.24 Balance Sheet 2015 2016 2017 2018 Assets Cash 50.6 75.1 89.0 81.0 Accounts Receivable 88.2 67.8 70.9 78.6 Inventory 34.5 29.5 27.2 32.4 Total Current Assets 173.3 172.4 187.1 192.0 Net Property, Plant & Equipment 248.4 238.9 313.8 345.5 Goodwill & Intangibles 361.5 361.5 361.5 361.5 Total Assets 783.2 772.8 862.4 899.0 Liabilities & Stockholders' Equity Accounts Payable 19.7 17.6 21.8 28.3 Accrued Compensation 6.1 6.8 7.8 8.5 Total Current Liabilities 25.8 24.4 29.6 36.8 Long-Term Debt 503.1 503.1 579.7 602.8 Total Liabilities 528.9 527.5 609.3 639.6 Stockholders' Equity 254.3 245.3 253.1 259.4 Total Liabilities & Stockholders' 783.2 772.8 862.4 899.0 Equity Statement of Cash Flows 2015 2016 2017 2018 Net Income 19.8 2.8 4.5 13.1 Depreciation & Amortization 26.2 25.8 35.6 39.8 Change in Accounts Receivable 3.9 20.4 -3.1 (7.7) Change in Inventory 5.0 2.3 (5.2) Change in Pay. & Accrued Comp. 2.8 (1.4) 5.2 7.2 Cash from Operations 49.8 52.6 44.5 47.2 Capital Expenditures (23.0) (23.6) (102.7) (73.8) Cash from Investing Activ. (23.0) (23.6) (102.7) (73.8) Dividends Paid (4.5) (4.5) (4.5) (4.5) Sale (or Purchase) of Stock Debt Issuance (Pay Down) 76.6 23.1 Cash from Financing Activ. (4.5) (4.5) 72.1 18.6 Change in Cash 22.3 24.5 13.9 (8.0) Mydeco Stock Price $7.24 $2.91 $5.67 $8.21 92.7 85.1 33.6 211.4 342.2 361.5 915.1 33.6 9.3 42.9 602.8 645.7 269.4 915.1 (2.9) 2019 20.9 38.0 (6.5) (1.2) 6.1 57.3 (39.8) (39.8) (5.8) (5.8) 11.7 $12.47
