Questions
Free Cash Flows Rhodes Corporation: Income Statements for Year Ending December 31 (Millions of Dollars) 2016...

Free Cash Flows

Rhodes Corporation: Income Statements for Year Ending December 31 (Millions of Dollars)

2016 2015
Sales $6,900.0 $6,000.0
Operating costs excluding depreciation 5,175.0 5,100.0
Depreciation and amortization 151.0 126.0
    Earnings before interest and taxes $1,574.0 $774.0
Less Interest 148.0 129.0
    Pre-tax income $1,426.0 $645.0
Taxes (40%) 570.4 258.0
Net income available to common stockholders $855.6 $387.0
Common dividends $770.0 $310.0

Rhodes Corporation: Balance Sheets as of December 31 (Millions of Dollars)

2016 2015
Assets
Cash $72.0 $60.0
Short-term investments 35.0 30.0
Accounts receivable 1,050.0 840.0
Inventories 1,518.0 1,380.0
    Total current assets $2,675.0 $2,310.0
Net plant and equipment 1,512.0 1,260.0
Total assets $4,187.0 $3,570.0
Liabilities and Equity
Accounts payable $414.0 $360.0
Accruals 621.0 540.0
Notes payable 138.0 120.0
    Total current liabilities $1,173.0 $1,020.0
Long-term debt 1,380.0 1,200.0
    Total liabilities $2,553.0 $2,220.0
Common stock 1,432.4 1,234.0
Retained earnings 201.6 116.0
    Total common equity $1,634.0 $1,350.0
Total liabilities and equity $4,187.0 $3,570.0

Using Rhodes Corporation's financial statements (shown above), answer the following questions.

  1. What is the net operating profit after taxes (NOPAT) for 2016? Enter your answer in millions. For example, an answer of $1.2 million should be entered as 1.2, not 1,200,000. Round your answer to one decimal place.
    $   million
  2. What are the amounts of net operating working capital for both years? Enter your answer in millions. For example, an answer of $1.2 million should be entered as 1.2, not 1,200,000. Round your answers to one decimal place.
    2016 $   million
    2015 $   million
  3. What are the amounts of total net operating capital for both years? Enter your answer in millions. For example, an answer of $1.2 million should be entered as 1.2, not 1,200,000. Round your answers to one decimal place.
    2016 $   million
    2015 $   million
  4. What is the free cash flow for 2016? Enter your answer in millions. For example, an answer of $1.2 million should be entered as 1.2, not 1,200,000. Round your answer to one decimal place.
    $   million
  5. What is the ROIC for 2016? Round your answer to two decimal places.
    %
  6. How much of the FCF did Rhodes use for each of the following purposes: after-tax interest, net debt repayments, dividends, net stock repurchases, and net purchases of short-term investments? (Hint: Remember that a net use can be negative.) Enter your answer in millions. For example, an answer of $1.2 million should be entered as 1.2, not 1,200,000. Round your answers to one decimal place.
    After-tax interest payment $   million
    Reduction (increase) in debt $   million
    Payment of dividends $   million
    Repurchase (Issue) stock $   million
    Purchase (Sale) of short-term investments $   million

In: Finance

Rhodes Corporation: Income Statements for Year Ending December 31 (Millions of Dollars) 2016 2015 Sales $7,700.0...

Rhodes Corporation: Income Statements for Year Ending December 31 (Millions of Dollars)

2016 2015
Sales $7,700.0 $7,000.0
Operating costs excluding depreciation 6,160.0 5,950.0
Depreciation and amortization 177.0 154.0
    Earnings before interest and taxes $1,363.0 $896.0
Less Interest 166.0 151.0
    Pre-tax income $1,197.0 $745.0
Taxes (40%) 478.8 298.0
Net income available to common stockholders $718.2 $447.0
Common dividends $646.0 $358.0

Rhodes Corporation: Balance Sheets as of December 31 (Millions of Dollars)

2016 2015
Assets
Cash $89.0 $77.0
Short-term investments 39.0 35.0
Accounts receivable 966.0 840.0
Inventories 1,663.0 1,330.0
    Total current assets $2,757.0 $2,282.0
Net plant and equipment 1,771.0 1,540.0
Total assets $4,528.0 $3,822.0
Liabilities and Equity
Accounts payable $564.0 $490.0
Accruals 756.0 630.0
Notes payable 154.0 140.0
    Total current liabilities $1,474.0 $1,260.0
Long-term debt 1,540.0 1,400.0
    Total liabilities $3,014.0 $2,660.0
Common stock 1,307.8 1,028.0
Retained earnings 206.2 134.0
    Total common equity $1,514.0 $1,162.0
Total liabilities and equity $4,528.0 $3,822.0

Using Rhodes Corporation's financial statements (shown above), answer the following questions.

  1. What is the net operating profit after taxes (NOPAT) for 2016? Enter your answer in millions. For example, an answer of $1.2 million should be entered as 1.2, not 1,200,000. Round your answer to one decimal place.
    $   million
  2. What are the amounts of net operating working capital for both years? Enter your answer in millions. For example, an answer of $1.2 million should be entered as 1.2, not 1,200,000. Round your answers to one decimal place.
    2016 $   million
    2015 $   million
  3. What are the amounts of total net operating capital for both years? Enter your answer in millions. For example, an answer of $1.2 million should be entered as 1.2, not 1,200,000. Round your answers to one decimal place.
    2016 $   million
    2015 $   million
  4. What is the free cash flow for 2016? Enter your answer in millions. For example, an answer of $1.2 million should be entered as 1.2, not 1,200,000. Round your answer to one decimal place.
    $   million
  5. What is the ROIC for 2016? Round your answer to two decimal places.
    %
  6. How much of the FCF did Rhodes use for each of the following purposes: after-tax interest, net debt repayments, dividends, net stock repurchases, and net purchases of short-term investments? (Hint: Remember that a net use can be negative.) Enter your answer in millions. For example, an answer of $1.2 million should be entered as 1.2, not 1,200,000. Round your answers to one decimal place.
    After-tax interest payment $   million
    Reduction (increase) in debt $   million
    Payment of dividends $   million
    Repurchase (Issue) stock $   million
    Purchase (Sale) of short-term investments $   million

In: Finance

Part B  In another experiment, the intensity of the incident light and the temperature of the...

Part B 
In another experiment, the intensity of the incident light and the temperature of the metal are held constant. Assuming that the initial light incident on the metal surface causes electrons to be ejected from the metal, what happens if the frequency of the incident light is increased?

Check all that apply.
   The work function of the metal increases.
   The number of electrons emitted from the metal per second increases.
   The maximum speed of the emitted electrons increases.
   The stopping potential increases.

In: Physics

Suppose that in a given round in an online market experiment, there are a 10 students...

Suppose that in a given round in an online market experiment, there are a 10 students assigned roles of sellers and 10 assigned roles as buyers. Altogether, they are assigned numbers 1,2,3....22. Each even numbered student is a buyer, and each odd numbered student is a seller. The costs of sellers are twice their student number. The value of buyers is his student number.

a) What is the market clearing quantity?

b) What is the highest possible market clearing price?

c) What is the lowest possible market clearing price?

In: Economics

An experiment was conducted to test the effect of different lighting systems and the presence or...

  1. An experiment was conducted to test the effect of different lighting systems and the presence or absence of a watchman on the average number of car burglaries per month at a parking garage. The data are in the following table and also in the file GARAGE, where the variables are named BURGLAR, LIGHTING and WATCHMAN.

Lighting

Watchman

Mean Number of Burglaries

poor

no

2.80

good

no

1.00

poor

yes

2.40

good

yes

0.75

  1. Using the Lenth procedure, find which effect(s) (if any) appear significant.

effects

  1. Interpret all of these significant effects.
  2. Permanently upgrading the lighting in the garage will cost $700 per month. Hiring awatchman will cost $3000 per month. It is estimated that lawsuits and loss of business cost on average $2000 per burglary. Is it worth it to hire a watchman, install lights or both?

In: Advanced Math

These are the results of a health experiment that investigated effectiveness of aspirin of reducing heart...

These are the results of a health experiment that investigated effectiveness of aspirin of reducing heart attacks. This was a placebo eonctrolled study where 22, 071 male doctors in the United States were given either 325 mg or aspirin or placebo pill every other day for 5 years. The following are the data collected over 5 years.

-List 1. the most appropriate statistical test. 2. null and alternative hypotheses. 3. calculate appropriate test statistic. 4. determine critical value. 5. statistical conclusion.

Group study Heart attack no heart attack total
Aspirin 104 10933 11037
Placebo 189 10845 11034
total 293 21778 22071

In: Statistics and Probability

5. It is known that the temperature of a laboratory experiment (X) and the experiment’s percentage...

5. It is known that the temperature of a laboratory experiment (X) and the experiment’s percentage yield (Y ) approximately satisfy the linear regression assumptions. The following sample was collected: Temp 110 110 120 130 140 150 160 170 180 190 200 %Yield 45 52 53 59 63 69 74 78 86 89 97 (a) Plot the data and the sample least squares regression line. (b) Interpret the slope of your sample least squares regression line. (c) Given a temperature of 165 what is the expected %yield? (d) Compute a 95% C.I. for βˆ. (e) Interpret the C.I. constructed in (d).

In: Statistics and Probability

5. It is known that the temperature of a laboratory experiment (X) and the experiment’s percentage...

5. It is known that the temperature of a laboratory experiment (X) and the experiment’s percentage yield (Y ) approximately satisfy the linear regression assumptions. The following sample was collected: Temp 110 110 120 130 140 150 160 170 180 190 200 %Yield 45 52 53 59 63 69 74 78 86 89 97 (a) Plot the data and the sample least squares regression line. (b) Interpret the slope of your sample least squares regression line. (c) Given a temperature of 165 what is the expected %yield? (d) Compute a 95% C.I. for βˆ. (e) Interpret the C.I. constructed in (d).

In: Statistics and Probability

Three groups are tested in an experiment and the results for the measurements are: Group 1:...

Three groups are tested in an experiment and the results for the measurements are: Group 1: 5, 7, 5, 3, 5, 3, 3, 9 Group 2: 8, 1, 4, 6, 6, 4, 1, 2 Group 3: 7, 3, 4, 5, 2, 2, 3, 3 Test for the equality of the means at 5% significance.

In: Statistics and Probability

the W's scientist at a pharmacy firm conducted an experiment of study the effectiveness of an...

the W's scientist at a pharmacy firm conducted an experiment of study the effectiveness of an herbal compound to treat common cold. individual was exposed to a cold virus, they was given herb or sugar solution. after several days they check each person condition, using a cold severity scale ranging from 0 to 5. no evidence of benfit of the compound

In: Statistics and Probability