Question: Pro Forma Analysis and Valuation: Nike, Inc. (Medium) At the end of fiscal year 2008, Nike reported $5 ,806 million in net operating assets and common shareholders' equity of $7, 797 million. Develop a pro forma and valuation at the end of fiscal year 2008 with the following forecats. Then calculate the per-share value of the 491 .1 million shares outstanding at the end of fiscal year 2008. Use a required return for operations of 8.6 percent and forecast that residua J operating income will grow at an annual rate of 4 percent after 2012. Sales for 2008 were $ 18,627 million.

(After working this exercise, you might go to the BYOAP feature on the Web site and develop alternative forecasts and valuations for Nike using the technology there.)