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Compare profitability for the two recent years. If the cost of capital for the firm is 10%, submit your analysis for Return on Invested Capital (ROIC) and Free Cash Flows (FCF).

Balance Sheets Assets Cash Short-Term Investments Accounts Receivable Inventories Total Current Assets Gross Fixed Assets Less: Accumulated Depreciation Net Fixed Assets Total Assets 2019 $9,000 48,600 351,200 715,200 $1,124,000 491,000 146,200 $344,800 $1,468,800 2020 $7,282 20,000 632,160 1,287,360 $1,946,802 1,202,950 263,160 $939,790 $2,886,592 Liabilities And Equity Accounts Payable Notes Payable Accruals Total Current Liabilities Long-Term Debt Common Stock (100,000 Shares) Retained Earnings Total Equity Total Liabilities And Equity 2019 $145,600 200,000 136,000 $481,600 323,432 460,000 203,768 $663,768 $1,468,800 2020 $324,000 720,000 284,960 $1,328,960 1,000,000 460,000 97,632 $557,632 $2,886,592 Income Statements 2020 Sales Cost of Goods Sold Depreciation Other Expenses Total Operating Costs EBIT Interest Expense EBT Taxes (40%) Net Income 2019 $3,432,000 2,864,000 18,900 340,000 $3,222,900 $209,100 62,500 $5,834,400 4,980,000 116,960 720,000 $5,816,960 $17,440 176,000 2019 $8.50 100,000 2020 $6.00 100,000 Other Data Stock Price Shares Outstanding EPS DPS Tax Rate Lease Payments $0.22 40% $40,000 $0.11 40% $40,000

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