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

	2016		2015
Sales	$9,000.0		$7,500.0
Operating costs excluding depreciation	6,750.0		6,375.0
Depreciation and amortization	173.0		150.0
Earnings before interest and taxes	$2,077.0		$975.0
Less Interest	193.0		161.0
Pre-tax income	$1,884.0		$814.0
Taxes (40%)	753.6		325.6
Net income available to common stockholders	$1,130.4		$488.4
Common dividends	$1,017.0		$391.0

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

	2016		2015
Assets
Cash	$108.0		$98.0
Short-term investments	46.0		38.0
Accounts receivable	1,350.0		1,125.0
Inventories	2,145.0		1,650.0
Total current assets	$3,649.0		$2,911.0
Net plant and equipment	1,725.0		1,500.0
Total assets	$5,374.0		$4,411.0
Liabilities and Equity
Accounts payable	$878.0		$675.0
Accruals	293.0		225.0
Notes payable	180.0		150.0
Total current liabilities	$1,351.0		$1,050.0
Long-term debt	1,800.0		1,500.0
Total liabilities	$3,151.0		$2,550.0
Common stock	1,963.6		1,715.0
Retained earnings	259.4		146.0
Total common equity	$2,223.0		$1,861.0
Total liabilities and equity	$5,374.0		$4,411.0

1.What is the free cash flow for 2016? Enter your answer inmillions. For example, an answer of $1.2 million should be enteredas 1.2, not 1,200,000. Round your answer to one decimal place.

2.What is the ROIC for 2016? Round your answer to two decimalplaces.

How much of the FCF did Rhodes use for each of the followingpurposes: after-tax interest, net debt repayments, dividends, netstock repurchases, and net purchases of short-term investments?(Hint: Remember that a net use can be negative.) Enteryour answer in millions. For example, an answer of $1.2 millionshould be entered as 1.2, not 1,200,000. Round your answers to onedecimal place.

3.Reduction (increase) in debt