6.) a) Explain three methods for making simple post-horizon forecasts, and how they relate to each other.

(9 marks)

b) Explain carefully why business strategy analysis is an essential pre-requisite for each of the other stages of analysis.

(10 marks)

c) Manola has net operating assets (NOA) of JPY () 56,000 million.

The companys return on common equity (ROCE) is 16%, its return on net operating assets (RNOA) is 12%, its operating profit margin (PM) is 18%, its cost of debt (before tax) is 4% and its tax rate 30%.

(i) Calculate Manolas net financial leverage, to 3 decimal places.

(ii) Calculate Manolas operating asset turnover (ATO), to 3 decimal places.