Show correct and clear workings

HOMEWORK PROBLEM Sales = $500,343 Cost of Goods Sold = $373,396 Total Overhead Expenses = $106, 510 (40% Variable, 60% Fixed) Inventory on Hand = $43,783 Net Accounts Receivable = $5,614 CashonHand = $6,756 Prepaid Expenses = $3,511 Fixed Assets = $144,858 Note: All dollar figures are in millions. 1. Create spreadsheet to calculate EBIT $, EBIT Margin %, Asset Turnover %, and Return on Assets %. 2. If there is a 5% increase in sales, recalculate metrics. (remember, COGS and variable overhead expense increase correspondingly, and assume that Inventory and Net A/ R increase correspondingly as well). 3. If there is 5% decrease in cost (COGS + variable 0H], recalculate metrics. Assume that COGS and Inventory decrease proportionally. BUSINESS FINANCIAL MODEL SALES ($) GROSS PROFIT ($) EBIT EBIT COST OF GDS MARGIN (%) (S) SOLD ($) TOTAL COST VARIABLE SALES ($) ($) O/H EXP ($) RETURN ON ASSETS (%) FIXED O/H EXPENSE ($) ASSET INVENTORY TURNS (%) SALES ($) CURRENT ($) ASSETS ($) TOTAL NET ACCTS ASSETS ($) RECV ($) FIXED ASSETS ($) CASH ON HAND ($)