ww ANURAG BHARTI PGP 2019-21 Batch 9 October 2019 at 16:00 To: p19aakratim@imidr.ac.in, p19abhilashk@iimidr.ac.in, p19abhisekd@iimidr.ac.in, p1Sabhishekk@iimidr.ac.in, ptadityac@limidr.2c.in, p1 9akhilg@iimidr.ac in, p1Gakhilaj@iimidr.ac.in, p19alokv@limidr.ac.in, p19amgothp@iimidr.ac.in, p19ananyaa@iimidr.ac.in, p19anirbang@iimidr.ac.in, p1Banjank@limidr.ac.in, i16anmolk@iimidr.ac.in, p19annapurnak@iimidr.ac.in, p1Sanuragb@iimidr.ac.in, p19anushkag@iimidr.ac.in, i1€apratipe@iimidr ac in, p19arshada@limidr.ac in, p1Saruneshn@iimidr.ac in, (téashwinik@limidr.ac in, p19aswathid@iimidr.ac.in, p19bagrodias@iimiar.ac.in, p1 9bhagatp@iimidr.ac.in, p1 abhukyak@iimidr act p19bisaiv@iimidr.ac.in, p19chaitanyag@iimidr.ac.in, p19chinkuc@iimidr.ac.in, p1Sdangarl@iimidr.ac.in, p19darrenm@limidr.ac in, itédhruvg@limidr.ac.in, i16divyad@iimidr.ac.in, p19gaurav@iimidr.ac.in, p19someshg@iimidr.ac.in, p19hariprasadg@iimidr.ac.in, p19harishankerg@limidr.ac.in, p19janakits@iimidr.ac.in, 19kaladarit@iimidr.ac.in, p19konathalas@iimidr.ac.in, p19manjul@iimidr-ac.in, (Mémanjulas@iimidr-ac.in, p19manua@iimidr.ac.in, p19mudliyarv@iimidr.ac.in, p1Snairtm@limidr-ac.in, p1Snandamd@iimidr.ac in, p19nandanat@iimidr.ac:in, p19nihalr@iimidr.ac.in, p19nikitab@iimidr.ac.in, 1 6nikital@limidr.ac.in, /1énishap@limidt.ac.in, p19poorvay@limidr.ac.in, p19prasanths@limidr.ac in, p19premanshub@iimidr.ac.in, p19pujak@iimidr.ac.in, 19ridhimak@iimidr.ac.in, p19rohith@iimidr.ac.in, 11 6samyuktas@limidr.ac.in, “SANCHIT MEHRA (IPM 2016-21 Batch)” <, 16sarveshp@iimidr.ac.in, p19saumyagautam@iimidr.ac.in, i1éshashankg@iimidr.ac.in, p19shivamk@iimidr.ac.in, p19shramonam@iimidr.ac.in, p1 9shreyaj@iimidr.ac.in, p19shrishrimals@ilimidr.ac.in, p19shubhamjana@iimidr.ac.in, p19shubhamt@iimidr.ac.in, p19shylan@limid.ac.in, p19sohinib@iimidr.ac.in, p19sonia@limidr.ac.in, p19swamadeepb@imidr.ac in, '16swarnavan@iimidr.ac.in, p19tanmayp@iimidr.ac.in, 19tanwitat@iimidr.ac.in, p19vershac@iimidr.ac.in, p19vinital@iimidr.ac.in, pi9vyushtid@iimidr.ac.in, 19richay@iimidr ac in, i18yogitay@iimidr-ac.in Ce: Yogesh Maheshwari Dear All Trust you would be progressing with the analysis of financial statements of Britannia Industries Limited, as initiated in the class today. | thought the following recap of the concepts that we had dealt with in the session might help you tally your learning better: Operating Current Assets (OCA): Current assets necessary for operations of a firm. These may include inventory, accounts receivable, and cash. Operating Current Liabilities (OCL): Current liabilities associated with the operations of the firm. These may include accounts payable, and accrued expenses. Net Operating Working Capital, NOWC = OCA — OCL Operating Long-term Assets (OLA): Long-term assets used in the operations of a firm. These may include net plant and machinery, other relevant tangible/intangible assets, and capital work-in- progress. Total Net Operating Capital, TNOC = NOWC + OLA Net Investment in Operating Capital, NIOC = TNOC, -—TNOC,. eg. NIOC for 2019 = TNOC 949 - TNOCzo48, Net Operating Profit after Tax, NOPAT = EBIT (1—T) Free Cash Flow, FCF = NOPAT - NIOC Return on Invested Capital = NOPAT / TNOC. Market Value Added, MVA = MVSE ~ BVSEwhere Market Value of Shareholders Equity, MVSE = No. of Outstanding Shares Share Price and Book Value of Shareholders Equity, BVSE - Equity Share Capital + Other Equity Economic Value Added, EVA = NOPAT — (TNOC * WACC) where WAC = weighted average cost of capital Please complete all the calculations and bring the Sheet with you in the next session. The given data also provides you an opportunity to revise your financial statement analysis concepts of Term-| (both time series as well as cross-sectional analysis) to enable you to comment on the overall financial health of Britannia. Best wishes. Yogesh Maheshwari PS. Needless to say, your calculators should always accompany you to the Fin-| sessions.