Hatfield medical supplies mini case

I Have A Build A Model For Financial Sheets For Finance Class And Need In 8 Hour

I have include the build a model where you are supposed to add new sheets in the excel and put in all the numbers and design the chart as you would present to your manager at a financial work place. I have also included two examples that you can see to help you and have the functions you need to use for my excel. Also all the numbers that are being calculated have to be inputed by cell. you cant just type the number if you are using a function in the cell. it has to be calculated in the cell

Build-a-model
Starting with this partial model, which contains financial statements and other information, complete sections a thru g. All sections in yellow must be completed using formulas. All data must be computed using formulas referencing data from the financial statements and other data. Manual entry of data for solutions will result in zero points for the particular calculation.
Income Statement for the Year Ending December 31 (Millions of Dollars)
2019
Net Sales $ 800.0
Costs (except depreciation) $ 576.0
Depreciation $ 60.0
Total operating costs $ 636.0
Earning before int. & tax $ 164.0
Less interest $ 32.0
Earning before taxes $ 132.0
Taxes (25%) $ 33.0
Net income before pref. div. $ 99.0
Preferred div. $ 9.00
Net income avail. for com. div. $ 90.0
Common dividends $ 30.0
Addition to retained earnings $ 60.0
Number of shares (in millions) 10
Dividends per share $ 3.00
Tax Rate 25%
Balance Sheets for December 31 (Millions of Dollars)
Assets 2019 Liabilities and Equity 2019
Cash $ 28.0 Accounts Payable $ 16.0
Short-term investments 40.0 Notes payable 30.0
Accounts receivable 80.0 Accruals 24.0
Inventories 180.0 Total current liabilities $ 70.0
Total current assets $ 328.0 Long-term bonds $ 300.0
Net plant and equipment 600.0 Preferred stock $ 90.0
Total Assets $ 928.0 Common Stock (Par plus PIC) $ 257.0
Retained earnings 211.0
Common equity $ 468.0
Total liabilities and equity $ 928.0
Key Assumptions: Operating ratios remain unchanged from values in most recent year. Sales are expected to increase, 15%, 10%, 6%, and 6% during the next four years. The tax rate will remain at 25% and WACC is assumed to be 15% for all years. This data should be in a separate input table and referenced for the calculations when needed. This means you create an input table for the key assumptions data.
a. Calculate the actual operating and projected ratios. Also fill in the tax rate and WACC for each year. (6.75pts)
Inputs Actual Projected Projected Projected Projected
12/31/19 12/31/20 12/31/21 12/31/22 12/31/23
Sales Growth Rate
Costs/Sales
Depreciation/(Net PPE)
Cash/Sales
(Acct. Rec.)/Sales
Inventories/Sales
(Net PPE)/Sales
(Acct. Pay.)/Sales
Accruals/Sales
Tax rate
Weighted average cost of capital (WACC)
b. Forecast the parts of the income statement and balance sheets necessary to calculate free cash flow. (13.75pts)
Partial Income Statement for the Year Ending December 31 (Millions of Dollars)
Actual Projected Projected Projected Projected
Income Statement Items 12/31/19 12/31/20 12/31/21 12/31/22 12/31/23
Net Sales
Costs (except depreciation)
Depreciation
Total operating costs
Earning before int. & tax
Partial Balance Sheets for December 31 (Millions of Dollars)
Actual Projected Projected Projected Projected
Operating Assets 12/31/19 12/31/20 12/31/21 12/31/22 12/31/23
Cash
Accounts receivable
Inventories
Net plant and equipment
Operating Liabilities
Accounts Payable
Accruals
c. Calculate free cash flow for each projected year. Also calculate the growth rates of free cash flow each year to ensure that there is constant growth (i.e., the same as the constant growth rate in sales) by the end of the forecast period. (11.25pts)
Actual Projected Projected Projected Projected
Calculation of FCF 12/31/19 12/31/20 12/31/21 12/31/22 12/31/23
Operating current assets
Operating current liabilities
Net operating working capital
Net PPE
Total net operating capital
NOPAT
Investment in total net operating capital na
Free cash flow na
Growth in FCF (gL) na
Growth in sales
d. Calculate the return on invested capital (ROIC=NOPAT/Total net operating capital) and the growth rate in free cash flow. Compare to the WACC. (2.5pts)
Actual Projected Projected Projected Projected
12/31/19 12/31/20 12/31/21 12/31/22 12/31/23
Return on invested capital (ROIC=NOPAT/[Total net operating capital])
Weighted average cost of capital (WACC)
e. Calculate the current value of operations. (Hint: First calculate the horizon value at the end of the forecast period, which is equal to the value of operations at the end of the forecast period. Assume that the annual growth rate beyond the horizon is equal to the growth rate at the horizon.) (6.5pts)
Weighted average cost of capital (WACC)
Actual Projected Projected Projected Projected
12/31/19 12/31/20 12/31/21 12/31/22 12/31/23
Free cash flow
Long-term constant growth in FCF
Horizon value
Present value of horizon value
Present value of forecasted FCF
Value of operations (]PV of HV] + [PV of FCF])
Total net operating capital
f. Calculate the price per share of common equity as of 12/31/2018. (3.25pts)
Millions except price per share Actual
12/31/19
Value of operations
+ Value of short-term investments
Total value of company
− Total value of all debt
− Value of preferred stock
Value of common equity
Divided by number of shares
Price per share
g. If the actual price of the stock is $69.75, what is your assessment of the proposed operating plan? What are some actions the company can take to improvement the operating plan? Explain how such actions would improve the plan. (6 pts)