The S&P 500 index delivered a return of 20%, 15%, -25%, and -10% over four successive years. What is the arithmetic average annual return per year? OA. -5% OB. 3% O c. 0% OD. 5% Use the table for the question(s) below. FCF Forecast ($ million) Year 1 2 3 Sales 240 270 290 310 3255 Growth versus Prior Year 12.5% 7.4% 6.9% I 5.0% EBIT (10% of Sales) 27.00 29.00 31.00 32.55 Less: Income Tax (37%) (9.99) 10.73 11.47 12.44 Less: Increase in NWC (12% of Change in Sales). 36 24 24 1.86 Free Cash Flow 13.41 15.87 17.13 18.65 Banco Industries expect sales to grow at a rapid rate over the next 3 years, but settle to an industry growth rate of 6% in year 4. The spreadsheet above shows a simplified pro forma for Banco Industries. Banco Industries has a weighted average cost of capital of 10%, 540 million in cash, $80 million in debt, and 18 million shares outstanding. If Banco Industries can reduce their operating expenses so that EBIT becomes 12% of sales, by how much will their stock price increase? O A. $5.73 OB. $8.36 OC. $14.34 OD. 54.78