The following are summary income statement and balance sheet numbers for a firm (in millions of dollars). The firm has a required return for operations of 9%

(a) Calculate the following numbers (and show working) for 2015. Use beginning-of-period balance sheet numbers in denominators.

? Return on common equity (ROCE) ? Return on net operating assets (RNOA) ? Core return on net operating assets (Core RNOA) ? Free cash flow ? Net payments to common shareholders ? Net payments to net debt holders ? Asset turnover ? Core profit margin ? Growth rate for net operating assets b) On the basis of these financial statements, forecast (i) R esidual operating income for 2016 and 201 7. (ii) Abnormal operating income growth for 201 7