1. What was net operating working capital for 2014 and 2015?

2. What was the 2015 free cash flow?

3. How would you explain the large increase in 2015 dividends?

Powell Panther Corporation: Balance Sheets as of December 31 (Millions of Dollars) 2015 2014 $ 12.0 180.0 Assets Cash and equivalents Accounts receivable Inventories Total current assets Net plant and equipment Total assets 180.0 $372.0 300.0 $672.0 $ 10,0 150.0 200.0 S360.0 250.0 S610.0 2014 $1,000.0 850.0 Powell Panther Corporation: Income Statements for Year Ending December 31 (Millions of Dollars) 2015 Sales $1,200.0 Operating costs excluding depreciation 1,020.0 and amortization EBITDA $ 180.0 Depreciation & amortization 30.0 Earnings before interest and taxes $ 150.0 (EBIT) Interest 21.7 Earnings before taxes (EBT) $ 128.3 Taxes (40%) 51.3 Net income $ 77.0 Common dividends $ 60.5 $ 150.0 25.0 $ 125.0 20.2 $ 104.8 41.9 51.5 Powell Panther Corporation: Balance Sheets as of December 31 (Millions of dollars) 2015 2014 Liabilities and Equity Accounts payable $108.0 $ 90.0 Accruals 72.0 60.0 Notes payable 67.0 Total current liabilities $247.0 $201.5 Long-term bonds 150.0 150.0 Total liabilities $397.0 $351.5 Common stock (50 million shares) 50.0 50.0 Retained earnings 225.0 208.5 Common equity $275.0 $258,5 Total liabilities and equity $672.0 S610.0 $ 62.9 46.4 S