Question: Can any one answer Part B point by point for me plz? Eataly Distribuzione (Italian Operations Only) All figures in Euros (), rounded to the

 Can any one answer Part B point by point for meplz? Eataly Distribuzione (Italian Operations Only) All figures in Euros (), roundedto the nearest 1,000 Income Statement (2009-2013) 2009 2010 2011 2012 2013 A) Value of production 41,895 43,502 24,366 49,898 2,866 52,764 60,571 3,181Can any one answer Part B point by point for me plz?

Eataly Distribuzione (Italian Operations Only) All figures in Euros (), rounded to the nearest 1,000 Income Statement (2009-2013) 2009 2010 2011 2012 2013 A) Value of production 41,895 43,502 24,366 49,898 2,866 52,764 60,571 3,181 63,752 100,4031 5,741 106,145 130,132 6,943 137,075 Sales revenues Other revenues Total revenues B) Costs of production 29,155 8,239 1,174 10,937 2,110 34,371 9,087 1,698 13,864 2,333 59,773 10,232 4,159 24,328 79,107 12,650 Raw material and consumables used Services Cost of use of assets owned by others (third party assets Cost of employees Amortization depreciation& write downs Variations of inventory of raw and auxiliary materials, consumables and 6,018 31,040 3,936 849 2,231) 1,303 131,509 5,566 (301) (1,144)(209)(726) 279 42,050 921 100,946 5,199 Other expenses 302 50,773 1,991 378 61,521 2231 Total costs of production Difference between value and costs of production C) Financial income and expenses Other financial income Interest and other financial expenses Exchange rate gains 234 90 102 269 183 Total financial income and expenses E) Extraordinary income and expenses Extraordinary income Extraordinary expenses 0 231 ( 230) 275 ( 268) 1,643 930 713 ( 134) 5,424 Total extraordinary income and expenses 401 1,964 1,133 832 Profit before taxes 1,435 5,506 Taxes on the income of the fiscal year, current, deferred and prepaid Net profit (loss) for the fiscal year 3,153 3,370 3,301 9,502 6.9% 5,566 EBITDA 4,102 7,459 EBITDA (% of value of production) 1,452 1,991 2,231 EBIT (% of value of production) BALANCE SHEET (2009-2013 FINANCIAL STATEMENT: ASSETS 2009 2010 2011 2012 2013 B) Assets )INTANGIBLE ASSETS Start-up and capital costs R&D and advertising costs Patent rights and similar rights Licenses trade marks and similar rights Other intangible assets 207 0 920 23 0 0 822 414 984 432 1,906 859 1,811 856 4,199 Total intangible assets 1,953 I)TANGIBLE ASSETS Land and buildings Plant and machine Industrial and commercial equipment Other tangible assets Assets under construction and payments on account 8,380 1,625 3,621 1,933 351 15,910 9,044 1,653 8,269 1,157 Total tangible assets 13,922 14,271 14,488 29,405 III) FINANCIAL ASSETS Investments Receivables 1,039 703 1,156 1,767 17,595 1,349 2,054 18,278 1,252 13,140 14,392 31,496 1,232 467 1,700 36,173 Total financial assets Total assets C)Assets forming part of working capital INVENTORY 2,269 2,269 3,413 3,413 Finished products and goods 3,622 3,622 Total inventory 4,348 I) RECEIVABLES 15,331 1,259 4,025 6,763 265 Trade receivables Receivables from subsidiary companies Credit for taxes Prepaid taxes Other receivables 8,048 265 12,834 928 0 123 13,885 15,147 33,380 0 227 8,090 10,794 22,297 101 40,676 9,432 11,750 24,804 Total receivables 5,050 5,901 20,357 27,469 54,406 70 90,649 IV) CASH FUNDS Total assets forming part of working capital PREPAYMENTS AND ACCRUED INCOME Total assets 30,828 45,190 64,913 FINANCIAL STATEMENT: LIABILITIES FINANCIAL STATEMENT: LIABILITIES A) Net Equ I) CAPITAL IV) LEGAL RESERVE VII) OTHER RESERVES, INDICATED SEPARATELY VII) RETAINED EARNINGS (LOSSES) CARRIED FORWARD IX) NET PROFIT (LOSS) FOR THE YEAR 4,000 130 4,000 4,000 203 4,000 244 165 3,080 7,957 4,000 402 96 7,539 3,370 15,408 2,430 685 7,245 3,755 832 8,789 19 1,110 4,545 3,153 11,942 Total net equity B) Provisions for contingencies and charges C) Provision for employees severance indemni D) Debts 571 886 1,620 2,325 Amounts payable to partners for funds Amounts payable to banks Advance payments Amounts payable to suppliers Amounts payable to subsidiary companies Amonunts payable to parent companies Amounts payable to tax authorities Amounts payable to social security institutions Other debts 6,000 6,383 13,725 6,095 1,500 70 19,318 6,211 2,945 6,240 4,387 13,356 21,046 30,875 40,865 1,028 274 410 21,777 1,235 30,827 1,227 379 557 29,147 2,685 40,676 1,596 356 541 32,695 2,577 45,190 715 2,770 529 1,239 46,756 4,589 64,912 807 1,636 66,123 6,784 90,648 Total debts E) ACCRUED EXPENSES AND DEFERRED INCOME Total liabilities Source: Company documents Part B- Estimating the Weighted Average Cost of Capital Assuming that the only long-term debts that the company has are those to partners for funds and to banks, use Eataly's balance sheets for 2009-2013 to estimate the company's target debt ratio (long-term debt to total assets). Choose the answer that you think is closest to your calculations and justify your answer. 10%, 15%, 20%, 25% Estimate the risk-free rate in the market by finding the yield on 10-year U.S. Treasury bonds. Please put screenshot of this information which indicates the date and the time of observation. Estimate the beta for the company by finding either the average of the betas for six publicly traded grocery stores: (i) Ingles Markets, Inc., i) The Kroger Company, (iii) Smart & Final Stores, Inc., (iv) Sprouts Farmers Market, Inc., (v) Village Super Market, Inc., and (vi) Weis Markets, Inc. OR, use the closets competitors beta OR, median of six traded stores o o o Assume that the market risk premium is 5.0%. Calculate Eataly's cost of equity capital. . . Assume that Eataly's cost of debt capital is 4.5%. Also, assume that the company's capital structure is only made up of debt and equity so that the company's fraction of firm value financed by equity is just 1 minus the fraction financed by debt (that is, the target debt ratio). Using these fractions to weight the after-tax cost of debt and the cost of equity, calculate Eataly's weighted average cost of capital (WACC)

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!