See the attached Financial Statements for Davidson Corporation.

A) Complete the missing Balance Sheet and Income Statement items.

B) Compute the Net Operating Working Capital for 2012.

C) Compute the Free Cash Flow for 2012 assuming that capital expenditures for 2012 were $500 million and the Net Operating Working Capital in 2011 was the same as in 2012.

D) Compute the 2012 ROIC

Davidson Corporation: Balance Sheet as of December 31, 2012 (Millions of Dollars) 15 515 Assets Cash and Equivalents Accounts Receivable Inventories Total Current Assets Net Plant and Equipment 1410 2590 Liabilities and Equity Accounts Payable Notes Payable Accruals Total Current Liabilities Long Term Bonds Common Stock Retained Earnings Total Common Equity ? 220 280 620 2 260 1600 2 31 ? Total Assets $4000 Total Liabilities and Equity Davidson Corporation: Income Statement for Year Ending December 31, 2012 (Millions of Dollars) $6250 Sales Operating expenses excluding depreciation and amortization EBITDA Depreciation & amortization Operating Income (EBIT) Interest Expense Earnings before taxes Taxes (40%) Net Income 5230 1020 220 800 180 248 ? Common dividends paid 146 A) On the financial statements, compute: 2012 Inventories 2012 Total Assets 2012 Accounts Payable 2012 Long Term Bonds 2012 Total Common Equity 2012 Earnings before taxes 2012 Net Income Compute: B) 2012 NOWC C) 2012 FCF D) 2012 ROIC