Arlington Corporation's financial statements (dollars and shares are in millions) are provided here. Balance Sheets as of December 31 2019 2018 Assets Cash and equivalents $ 15,000 $ 14,000 Accounts receivable 35,000 30,000 Inventories 31,920 27,000 Total current assets $ 81,920 $ 71,000 Net plant and equipment 48,000 47,000 Total assets $129,920 $118,000 Liabilities and Equity Accounts payable $ 11,000 $ 9,000 Accruals 7,100 5,000 Notes payable 6,500 5,150 Total current liabilities $ 24,600 $ 19,150 Long-term bonds 10,000 10,000 Total liabilities $ 34,600 $ 29,150 Common stock (4,000 shares) 40,000 40,000 Retained earnings 55,320 48,850 Common equity $ 95,320 $ 88,850 Total liabilities and equity $129,920 $118,000 Income Statement for Year Ending December 31, 2019 Sales $241,000 Operating costs excluding depreciation and amortization 190,000 EBITDA $ 51,000 Depreciation & amortization 7,000 EBIT $ 44,000 Interest 5,000 EBT $ 39,000 Taxes (25%) 9,750.00 Net income $ 29,250.00 Dividends paid 22,780.00 Enter your answers in millions. For example, an answer of $25,000,000,000 should be entered as 25,000. Round your answers to the nearest whole number, if necessary. What was net operating working capital for 2018 and 2019? Assume that all cash is excess cash; i.e., this cash is not needed for operating purposes. 2018 $ million 2019 $ million What was Arlington's 2019 free cash flow? $ million Construct Arlington's 2019 statement of stockholders' equity. Statement of Stockholders' Equity, 2019 Common Stock RetainedEarnings Total Stockholders'Equity Shares Amount Balances, 12/31/18 million $ million $ million $ million 2019 Net Income million Cash Dividends million Addition to retained earnings million Balances, 12/31/19 million $ million $ million $ million What was Arlington's 2019 EVA? Assume that its after-tax cost of capital is 10%. Round your answer to the nearest cent. $ million What was Arlington's MVA at year-end 2019? Assume that its stock price at December 31, 2019 was $25. Round your answer to the nearest cent. $ million

Arlington Corporation's financial statements (dollars and shares are in millions) are provided here. Balance Sheets as of December 31 2019 2018 Assets Cash and equivalents $ 15,000 $ 14,000 Accounts receivable 35,000 30,000 Inventories 31,920 27,000 Total current assets $ 81,920 $ 71,000 Net plant and equipment 48,000 47,000 Total assets $129,920 $118,000 Liabilities and Equity Accounts payable $ 11,000 $ 9,000 Accruals 7,100 5,000 Notes payable 6,500 5,150 Total current liabilities $ 24,600 $ 19,150 Long-term bonds 10,000 10,000 Total liabilities $ 34,600 $ 29,150 Common stock (4,000 shares) 40,000 40,000 Retained earnings 55,320 48,850 Common equity $ 95,320 $ 88,850 Total liabilities and equity $129,920 $118,000 Income Statement for Year Ending December 31, 2019 Sales $241,000 Operating costs excluding depreciation and amortization 190,000 EBITDA $ 51,000 Depreciation & amortization 7,000 EBIT $ 44,000 Interest 5,000 EBT $ 39,000 Taxes (25%) 9,750.00 Net income $ 29,250.00 Dividends paid 22,780.00 Enter your answers in millions. For example, an answer of $25,000,000,000 should be entered as 25,000. Round your answers to the nearest whole number, if necessary. What was net operating working capital for 2018 and 2019? Assume that all cash is excess cash; i.e., this cash is not needed for operating purposes. 2018 $ million 2019 $ million What was Arlington's 2019 free cash flow? $ million Construct Arlington's 2019 statement of stockholders' equity. Statement of Stockholders' Equity, 2019 Common Stock RetainedEarnings Total Stockholders'Equity Shares Amount Balances, 12/31/18 million $ million $ million $ million 2019 Net Income million Cash Dividends million Addition to retained earnings million Balances, 12/31/19 million $ million $ million $ million What was Arlington's 2019 EVA? Assume that its after-tax cost of capital is 10%. Round your answer to the nearest cent. $ million What was Arlington's MVA at year-end 2019? Assume that its stock price at December 31, 2019 was $25. Round your answer to the nearest cent. $ million

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

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Arlington Corporation's financial statements (dollars and shares are in millions) are provided here.

Balance Sheets as of December 31
	2019	2018
Assets
Cash and equivalents	$ 15,000	$ 14,000
Accounts receivable	35,000	30,000
Inventories	31,920	27,000
Total current assets	$ 81,920	$ 71,000
Net plant and equipment	48,000	47,000
Total assets	$129,920	$118,000

Liabilities and Equity
Accounts payable	$ 11,000	$ 9,000
Accruals	7,100	5,000
Notes payable	6,500	5,150
Total current liabilities	$ 24,600	$ 19,150
Long-term bonds	10,000	10,000
Total liabilities	$ 34,600	$ 29,150
Common stock (4,000 shares)	40,000	40,000
Retained earnings	55,320	48,850
Common equity	$ 95,320	$ 88,850
Total liabilities and equity	$129,920	$118,000

Income Statement for Year Ending December 31, 2019
Sales	$241,000
Operating costs excluding depreciation and amortization	190,000
EBITDA	$ 51,000
Depreciation & amortization	7,000
EBIT	$ 44,000
Interest	5,000
EBT	$ 39,000
Taxes (25%)	9,750.00
Net income	$ 29,250.00
Dividends paid	22,780.00

Enter your answers in millions. For example, an answer of $25,000,000,000 should be entered as 25,000. Round your answers to the nearest whole number, if necessary.

What was net operating working capital for 2018 and 2019? Assume that all cash is excess cash; i.e., this cash is not needed for operating purposes.

2018 $ million

2019 $ million
What was Arlington's 2019 free cash flow?

$ million

Construct Arlington's 2019 statement of stockholders' equity.

Statement of Stockholders' Equity, 2019
	Common Stock	Retained Earnings	Total Stockholders' Equity
Shares	Amount
Balances, 12/31/18	million	$ million	$ million	$ million
2019 Net Income		million
Cash Dividends		million
Addition to retained earnings			million
Balances, 12/31/19	million	$ million	$ million	$ million

What was Arlington's 2019 EVA? Assume that its after-tax cost of capital is 10%. Round your answer to the nearest cent.

$ million
What was Arlington's MVA at year-end 2019? Assume that its stock price at December 31, 2019 was $25. Round your answer to the nearest cent.

$ million

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