this book is intermediate financial management by Brigham and Daves by 12th. this problem is ch8 and problme 23 in page 343.

Do you have a solution?

rtial model in Ch08 Build a Model a 15% weighted average cost of capital (WACC). Its most recent sales were $980 million and its total net operating capital is $870 million. The following shows estimates of the forecasted growth rates, operating profitability ratios, and capital requirement ratios for the next three years. All of these ratios are expected to remain constant after the third year. Use this information to answer the following questions. Estimated Data for Traver-Dunlap Corporation Forecast Annual sales growth rate Operating profitability (NOPAT/Sales) Capital requirement (OpCap/Sales) Tax rate 20% 12% 60% 35% 7% 10% 60% 35% 3 7% 10% 60% 35%