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##### Income statements and tax rates

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Hello, the professor verified that the data I sent you before does relate to the problem 2 that I sent you. I am a little concerned that you stated that the data did not seem like it fit the problem.;Attachment Preview;problem 2 attachment.xlsx Download Attachment;Given;Corporate tax rate;Capex (2010-2014) equals depreciation expense;Cost of debt financing;Required return on equity;Targed debt to value ratio;Terminal period growth rate in FCFs;Income Statement;Sales;Depreciation;COGS;Other Operating Expenses;EBIT;Interest;Earnings before Taxes;Income Taxes;Net Income;Preferred Stock Dividends;Net Income to Common Stock;Common Stock Dividends;Income to Retained Earnings;25%;10%;20%;10%;5%;Base Year;2009;\$3,417,500.00;2010;\$3,700,625.00;48,190.60;1,402,798.69;1,078,447.38;\$1,171,188.34;5,110.00;\$1,166,078.34;(291,519.58);\$874,558.75;874,558.75;874,558.75;-;2011;\$3,983,750.00;50,118.22;1,496,881.13;1,109,874.25;\$1,326,876.40;5,110.00;\$1,321,766.40;(330,441.60);\$991,324.80;991,324.80;991,324.80;-;Forecast;2012;\$4,266,875.00;52,122.95;1,590,963.56;1,141,301.13;\$1,482,487.36;5,110.00;\$1,477,377.36;(369,344.34);\$1,108,033.02;1,108,033.02;1,108,033.02;-;2013;\$4,550,000.00;54,207.87;1,685,046.00;1,172,728.00;\$1,638,018.13;5,110.00;\$1,632,908.13;(408,227.03);\$1,224,681.10;1,224,681.10;1,224,681.10;-;2014;\$4,833,125.00;56,376.19;1,779,128.44;1,204,154.88;\$1,793,465.50;5,860.00;\$1,787,605.50;(446,901.38);\$1,340,704.13;1,340,704.13;1,340,704.13;-;Balance Sheet;Current Assets;Gross Fixed Assets;Accumulated Depreciation;Net Fixed Assets;Total Assets;Base Year;2009;\$170,630.00;1,204,765.00;(734,750.00);\$470,015.00;\$640,645.00;2010;\$185,031.25;1,252,955.60;(782,940.60);\$470,015.00;\$655,046.25;2011;\$199,187.50;1,303,073.82;(833,058.82);\$470,015.00;\$669,202.50;Forecast;2012;\$213,343.75;1,355,196.78;(885,181.78);\$470,015.00;\$683,358.75;2013;\$227,500.00;1,409,404.65;(939,389.65);\$470,015.00;\$697,515.00;2014;\$241,656.25;1,540,780.83;(995,765.83);\$545,015.00;\$786,671.25;Current Liabilities;L-T Debt;Preferred Stock;Common Stock;Retained Earnings;Total Common Equity;Total Liabilities & Equity;\$129,645.00;51,100.00;1,000.00;458,900.00;\$459,900.00;\$640,645.00;\$144,046.25;51,100.00;1,000.00;458,900.00;\$459,900.00;\$655,046.25;\$158,202.50;51,100.00;1,000.00;458,900.00;\$459,900.00;\$669,202.50;\$172,358.75;51,100.00;1,000.00;458,900.00;\$459,900.00;\$683,358.75;\$186,515.00;51,100.00;1,000.00;458,900.00;\$459,900.00;\$697,515.00;\$200,671.25;58,600.00;68,500.00;458,900.00;\$527,400.00;\$786,671.25;View Full Attachment;Additional Requirements;Min Pages: 1;Level of Detail: Only answer needed;Other Requirements: this relates to problem you already worked on

Paper#18216 | Written in 18-Jul-2015

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