The balance sheet and comprehensive income statement for a fimm for the year 2000 are below (in millions of dollars). The statutory tax rate is 35% and the firm's required return for operations is 10% BALANCE SHEET Assets Liabilities and Equity Receivables Inventory Property 2000 10 40 190 240 1999 9 42 180 231 Accounts payable Long-term debt Common equity 2000 17 63 160 240 1999 21 57 153 231 INCOME STATEMENT, 2000 462 346 116 Sales Cost of goods sold Gross margin Operating expenses Interest expense Income before tax Income taxes Comprehensive income 40 5 45 71 25 46 (a) (16 points) Calculate the following. Use beginning of period (1999) balance sheet numbers in the denominators. (i) Return on common equity (ROCE) for 2000 (ii) Return on net operating assets (RNOA) for 2000 (iii) Financial leverage (FLEV) at the end of 1999 (iv) Operating liability leverage at the end of 1999 Core profit margin ratio (after tax) for 2000 Asset turnover for 2000 (vii) Free cash flow for 2000 (viii) Cash paid out to shareholders during 2000 (b) (4 points) Proof the following relation with the number you have calculated: ROCE = RNOA+[FLEV SPREAD]