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CMA 412 p5-3. Hats and Shoes Corp. is projecting for the next five years. The volume of units to be sold on the first year is 60 and is expected to grow by 15% every year. They are selling their merchandise at Php50 on the average. Operating income margin is 25%. 1. Compute for Hats and Shoes Corp's Revenue for Year 1, 2, 3, 4, and 5. 2. Compute for Hats and Shoes Corp's Operating Income for Year 1, 2, 3, 4, and 5. 3. Hats and Shoes Corp's Compounded Annualized Growth Rate for the 5 years is P5-4. Electricute Inc. has projected net cash flows from operations at Php45 Million on the first year. In order to realize the 10% growth for the next 4 years, Electricute purchased CAPEX amounting to Php250 Million within the first year. Half of the CAPEX was funded by liability and no other long term liability was existing before the purchase on the first year. 1. For its five-year projection, Electricute's discounted net cash flow to the firm assuming a discount rate of 7.5% is 2. For its five-year projection, Electricute's net cash flow to equity assuming a discount rate of 7.5% is
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