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a. Forma Font Foundry had sales last year of $901 with related costs of $825. (All...

a. Forma Font Foundry had sales last year of $901 with related costs of $825. (All amounts are in thousands.) Assets total $1000. Current liabilities are $375, long-term debt is $300, and owners' equity is $325. Next years' sales are expected to be 132 times last year. Ignoring taxes, depreciation, and interest, what is next year's owners' equity? Assume one-half of profits are distributed as dividends.

b. Forma Font Foundry had sales last year of $1,000 with related costs of $800. (All amounts are in thousands.) Assets total $1000. Current liabilities are $500, long-term debt is $300, and owners' equity is $200. Next years' sales are expected to grow 25 percent. Ignoring taxes, depreciation, and interest, what is next year's projected asset value?

c.Forma Font Foundry had sales last year of $1,000 with related costs of $825. (All amounts are in thousands.) Assets total $1000. Current liabilities are $500, long-term debt is $300, and owners' equity is $200. Next years' sales are expected to grow 31 percent. Ignoring taxes, depreciation, and interest, what is next year's additional financing needed? Assume one-half of profits are distributed as dividends

d. Forma Font Foundry had sales last year of $944 with related costs of $875. (All amounts are in thousands.) Assets total $1000. Current liabilities are $500, long-term debt is $300, and owners' equity is $200. Next years' sales are expected grow 27 percent. Ignoring taxes, depreciation, and interest, what is next year's projected current liabilities?

Please show how you went about this and equations used. Thank you!

Solutions

Expert Solution

Solved the first three parts and attached the picture of the excel cointaining the formulae

jeff jeffy answered 2 years ago
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