Question
In: Finance
The most recent balance sheet is as follow: Cash 1,000,000 Accounts payable 700,000 Marketable securities 800,000...
The most recent balance sheet is as follow:
|
Cash |
1,000,000 |
Accounts payable |
700,000 |
|
Marketable securities |
800,000 |
Notes Payable |
2,000,000 |
|
Accounts receivable |
1,200,000 |
Accruals |
1,300,000 |
|
Inventory |
2,000,000 |
Current liabilities |
4,000,000 |
|
Current Assets |
5,000,000 |
Long-term debt |
5,400,000 |
|
Common stock |
4,600,000 |
||
|
Fixed assets |
15,000,000 |
Retained earnings |
6,000,000 |
|
Total assets |
20,000,000 |
Total liabilities and equity |
20,000,000 |
The firm estimates sales will increase from $40 million to $50 million. The firm's profit margin is 5 percent, and its dividend payout ratio is 40 percent. The firm’s fixed assets were used to only 96% of the capacity.
Using the AFN formula method, determine how much outside financing is required.
Expand the following equation by plugging numbers in the last term.
Solutions
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jeff jeffy answered 2 years agoRelated Solutions
The following items are reported on a company's balance sheet: Cash $292,600 Marketable securities 93,000 Accounts...
The following items are reported on a company's balance
sheet:
Cash
$292,600
Marketable securities
93,000
Accounts receivable
251,700
Inventory
178,500
Accounts payable
318,800
Determine the (a) current ratio, and (b) quick ratio. Round your
answers to one decimal place.
a. Current ratio
b. Quick ratio
The following items are reported on a company's balance sheet: Cash $247,900 Marketable securities 88,000 Accounts...
The following items
are reported on a company's balance sheet:
Cash
$247,900
Marketable securities
88,000
Accounts receivable
261,900
Inventory
192,700
Accounts payable
278,100
Round your answers to
two decimal places.
a.
Determine the current ratio.
b.
Determine the quick ratio.
4) Common-Size Balance Sheet 2016 Cash and marketable securities $ 550 1.7 % Accounts receivable 5,990...
4)
Common-Size Balance Sheet
2016
Cash and marketable securities
$
550
1.7
%
Accounts receivable
5,990
18.1
Inventory
9,530
28.8
Total current assets
$
16,070
48.6
%
Net property, plant, and equipment
16,980
51.4
Total assets
$
33,050
100.0
%
Accounts payable
$
7,210
21.8
%
Short-term notes
6,790
20.5
Total current liabilities
$
14,000
42.4
%
Long-term liabilities
6,950
21.0
Total liabilities
$
20,950
63.4
%
Total common shareholders’ equity
12,100
36.6
Total liabilities and shareholders’ equity
$
33,050...
ABC CORP BALANCE SHEET December 31, 2010 Cash $ 100 Marketable Securities 0 Accounts Receivables 2,000...
ABC CORP
BALANCE SHEET
December 31, 2010
Cash $ 100
Marketable Securities 0
Accounts Receivables 2,000
Inventory 140
Fixed Assets ( net ) 2,000
Total Assets
=====
Accounts Payable $ 2,380
Notes Payable 0
Retained earnings ?
Common Stock 1,400
Total of Both Liabilities & Equity =====
For the year ended 12/31/10 ABC CORP generated Sales of $12,000
and Net Income of $120. The net profit margin this year is
considered normal by ABC CORP. Cost of Goods Sold was...
Data pertaining to the current position of Forte Company follow: Cash $400,000 Marketable securities 162,500 Accounts...
Data pertaining to the current position of Forte Company
follow:
Cash
$400,000
Marketable securities
162,500
Accounts and notes receivable (net)
325,000
Inventories
750,000
Prepaid expenses
46,000
Accounts payable
230,000
Notes payable (short-term)
260,000
Accrued expenses
295,000
Required:
1.
Compute (A) the working capital, (B) the current ratio, and (C)
the quick ratio. Round ratios to one decimal place.
2.
Compute the working capital, the current ratio, and the quick
ratio after each of the following transactions and record the
results...
Data pertaining to the current position of Forte Company follow: Cash $412,500 Marketable securities 187,500 Accounts...
Data pertaining to the current position of Forte Company
follow:
Cash
$412,500
Marketable
securities
187,500
Accounts and notes
receivable (net)
300,000
Inventories
700,000
Prepaid
expenses
50,000
Accounts
payable
200,000
Notes payable
(short-term)
250,000
Accrued
expenses
300,000
1.
Compute (A) the working
capital, (B) the current ratio, and (C) the quick
ratio. Round ratios to one decimal place.
2.
Compute the working capital,
the current ratio, and the quick ratio after each of the following
transactions and record the results in...
Data pertaining to the current position of Forte Company follow: Cash $427,500 Marketable securities 172,500 Accounts...
Data pertaining to the current position of Forte Company
follow:
Cash $427,500
Marketable securities 172,500
Accounts and notes receivable (net) 335,000
Inventories 700,000
Prepaid expenses 48,000
Accounts payable 210,000
Notes payable (short-term) 255,000
Accrued expenses 300,000
1. Compute (A) the working capital, (B) the current ratio, and
(C) the quick ratio. Round ratios to one decimal place. 2. Compute
the working capital, the current ratio, and the quick ratio after
each of the following transactions and record the results in...
Data pertaining to the current position of Forte Company follow: Cash $447,500 Marketable securities 180,000 Accounts...
Data pertaining to the current position of Forte Company follow:
Cash $447,500 Marketable securities 180,000 Accounts and notes
receivable (net) 325,000 Inventories 700,000 Prepaid expenses
46,000 Accounts payable 210,000 Notes payable (short-term) 240,000
Accrued expenses 300,000 1. Compute (A) the working capital, (B)
the current ratio, and (C) the quick ratio. Round ratios to one
decimal place. 2. Compute the working capital, the current ratio,
and the quick ratio after each of the following transactions and
record the results in...
Data pertaining to the current position of Forte Company follow: Cash $412,500 Marketable securities 187,500 Accounts...
Data pertaining to the current position of Forte Company
follow:
Cash
$412,500
Marketable securities
187,500
Accounts and notes receivable
(net)
300,000
Inventories
700,000
Prepaid expenses
50,000
Accounts payable
200,000
Notes payable (short-term)
250,000
Accrued expenses
300,000
1.
Compute (A) the working
capital, (B) the current ratio, and (C) the quick ratio. Round
ratios to one decimal place.
2.
Compute the working capital,
the current ratio, and the quick ratio after each of the following
transactions, and record the results in...
The current asset section of the Excalibur Tire Company's balance sheet consists of cash, marketable securities
The current asset section of the Excalibur Tire Company's balance sheet consists of cash, marketable securities, accounts receivable and inventories. The December 31, 2018, balance sheet revealed the following:
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