Income statement XXXXXXXXXXMkr ) Revenue 95840 Operating expenses -94870 Operating profit 970 Interest income 50 Interest expenses -1550 Profit before tax -530 Tax 0 Net result -530 Balance sheet...

Income statement 2018 ( Mkr )

Let us first study some financial key figures:

a) What capital turnover rate did Thomas Cook create in 2018?
ggr

b) What was the debt / equity ratio of Thomas Cook 20181231?
ggr

c) What return on equity (RE) after tax did the company create in 2018?
%

Let us now assume that we are at the last board meeting in December 2018 and that financial targets for 2019 are discussed. Any profitability targets are set on opening balances for 2019. The Board (owners) are concerned about the financial balance and want an increase in the equity / assets ratio by one percentage point. The goal is expected to be reached in 20191231. However, the owners are not willing to help and invest more capital.

At a sitting board meeting, what the board calls a necessary investment in digital technology is also discussed. Let us assume that a decision is made on an investment that, together with an increased need for working capital, will increase the company's total capital in 2019 by SEK 950 million. For obvious reasons, no share dividend is planned. Interest expenses for the coming years are budgeted at SEK 1,450 million. Assume that the company does not pay any tax as they have accumulated losses since before.

d) What profit after tax must Thomas Cook achieve in 2019, taking into account the above conditions and objectives?
SEK million (rounded to integers)

e) What will be the target for return on total capital (RT) for the year 2019?
% (round to one decimal place)