Use 35% for the marginal tax rate.

Check figures:

2010 - 2011

• NOA 28,485 - 28,202
• NFL 13,398 - 10,634
• NOPAT 3,317 - 3,605
• FEAT 577 - 549

B E F J 1 Required: For the years 2010 and 2011, separte the balance sheet accounts into operating (NOA) and financing (NFL). 2 For the Income Statement, separete the accounts into operating (NOPAT) and financing (FEAT). 3 4 Fiscal Year Ended (in millions) 2010 2011 5 Consolidated Stmt of Operations 2009 2010 2011 Operating Financing Operating Financing 6 Sales $82,494 $93,627 $104,859 7 Other income-net 918 1,122 1,287 8 Total revenues (Total Sales) 83,412 94,749 106,146 9 Cost of sales 65,586 74,564 83,663 10 Operating. Selling General & Administrative Expenses 12,858 14,951 16,788 11 Total operating expenses 78.444 89,515 100,451 12 Operating income 4,968 5,234 5,695 13 Interest costs 14 Debt 520 692 629 15 Capital leases 186 196 216 16 Total Interest Costs 706 888 845 17 Income before taxes 4,262 4,346 4,850 18 Income tax expense 19 Current 1,572 1,530 1,974 20 Deferred 9 76 -180 21 Total Income tax expense 1,606 1,794 22 Net income $2,681 $2,740 $3,056 1,581 2010 2011 583 853 15,989 406 17,331 S883 845 15,897 368 17,993 24 Consolidated Balance Sheets (Amounts in millions) 25 Assets 26 Current assets: 27 Cash and cash equivalents 28 Receivables 29 Inventories at LIFO 30 Prepaid expenses and other 31 Total current assets 32 Property, plant and equipment, at cost: 33 Land 34 Building and improvements 35 Fixtures and equipment 36 Transportation equipment 37 38 Less accumulated depreciation 39 Net property, plant and equipment 40 Property under capital leases 41 Less accumulated amortization 42 Net property under capital leases 43 Other assets and deferred charges 44 Total assets 45 Liabilities and Shareholders' Equity 46 Current liabilities: 47 Commercial paper (interst bearing) 48 Accounts payable 49 Accrued liabilities 50 Accrued income taxes 51 Long-term debt due within one year (interest bearing) 52 Obligations under capital leases due within one year (interest 53 Total current liabilities 54 Long-term debt 55 Long-term obligations under capital leases 56 Deferred income taxes and other 57 Shareholders' Equity 58 Common stock (5.10 par value: 5,500 shares authorized 2,285 59 and 2,293 issued and outstanding in 2006 and 2005, respectively) 60 Capital in excess of par value 61 Retained earings 62 Total shareholders' equity 63 Total liabilities and shareholders' equity 3,559 11,290 5,665 336 20.850 3.752 17,098 2,476 680 1,796 1.316 $37.541 3,689 12,724 6,390 379 23,182 4.849 18,333 2,782 791 1,991 687 $39.004 $2.458 6,442 2,091 123 271 69 11,454 8,508 2,092 400 7,628 2,413 298 523 95 10,957 7,709 2,307 463 229 876 13.982 15.087 $37.541 228 972 16.368 17.568 $39.004