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In: Finance
The most recent financial statements for Cardinal, Inc., are shown here: Income Statement Balance Sheet Sales...
|
The most recent financial statements for Cardinal, Inc., are shown here: |
| Income Statement | Balance Sheet | ||||||||||
| Sales | $ | 31,800 | Assets | $ | 74,800 | Debt | $ | 38,100 | |||
| Costs | 18,500 | Equity | 36,700 | ||||||||
| Taxable income | $ | 13,300 | Total | $ | 74,800 | Total | $ | 74,800 | |||
| Taxes (24%) | 3,192 | ||||||||||
| Net income | $ | 10,108 | |||||||||
|
Assets and costs are proportional to sales. Debt and equity are not. A dividend of $3,900 was paid, and the company wishes to maintain a constant payout ratio. Next year’s sales are projected to be $36,570. |
|
What is the external financing needed? (Do not round intermediate calculations.) |
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jeff jeffy answered 6 months agoRelated Solutions
The most recent financial statements for Cardinal, Inc., are shown here: Income Statement Balance Sheet Sales...
The most recent financial statements for Cardinal, Inc., are
shown here: Income Statement Balance Sheet Sales $ 25,400 Assets $
61,000 Debt $ 26,900 Costs 17,300 Equity 34,100 Taxable income $
8,100 Total $ 61,000 Total $ 61,000 Taxes (21%) 1,701 Net income $
6,399 Assets and costs are proportional to sales. Debt and equity
are not. A dividend of $2,100 was paid, and the company wishes to
maintain a constant payout ratio. Next year’s sales are projected
to be...
The most recent financial statements for GPS, Inc., are shown here: Income Statement Balance Sheet Sales...
The most recent financial statements for GPS, Inc., are shown
here:
Income Statement
Balance Sheet
Sales
$23,800
Assets
$121,000
Debt
$43,600
Costs
16,900
Equity
77,400
Taxable income
$6,900
Total
$121,000
Total
$121,000
Taxes (30%)
2,070
Net income
$4,830
Assets and costs are proportional to sales. Debt and equity are
not. A dividend of $1,470 was paid, and the company wishes to
maintain a constant payout ratio. Next year's sales are projected
to be $29,400.
Required:
What is the external financing...
The most recent financial statements for GPS, Inc., are shown here: Income Statement Balance Sheet Sales...
The most recent financial statements for GPS, Inc., are shown
here:
Income Statement
Balance Sheet
Sales
$22,900
Assets
$113,000
Debt
$31,600
Costs
16,600
Equity
81,400
Taxable income
$6,300
Total
$113,000
Total
$113,000
Taxes (30%)
1,890
Net income
$4,410
Assets and costs are proportional to sales. Debt and equity are
not. A dividend of $1,500 was paid, and the company wishes to
maintain a constant payout ratio. Next year's sales are projected
to be $29,200.
Required:
What is the external financing...
The most recent financial statements for Heine, Inc., are shown here: Income Statement Balance Sheet Sales...
The most recent financial statements for Heine, Inc., are shown
here: Income Statement Balance Sheet Sales $ 23,500 Assets $ 53,400
Debt $ 20,200 Costs 14,900 Equity 33,200 Taxable income $ 8,600
Total $ 53,400 Total $ 53,400 Taxes (40%) 3,440 Net income $ 5,160
Assets and costs are proportional to sales. Debt and equity are
not. A dividend of $2,100 was paid, and the company wishes to
maintain a constant payout ratio. Next year’s sales are projected
to be...
The most recent financial statements for Assouad, Inc., are shown here: Income Statement Balance Sheet Sales...
The most recent financial statements for Assouad, Inc., are
shown here:
Income Statement
Balance Sheet
Sales
$
8,500
Current assets
$
3,450
Current liabilities
$
2,325
Costs
5,950
Fixed assets
8,900
Long-term debt
3,910
Taxable income
$
2,550
Equity
6,115
Taxes (22%)
561
Total
$
12,350
Total
$
12,350
Net
income
$
1,989
Assets, costs, and current liabilities are proportional to
sales. Long-term debt and equity are not. The company maintains a
constant 45 percent dividend payout ratio. As with...
The most recent financial statements for Cornwall, Inc., are shown here: Income Statement Balance Sheet Sales...
The most recent financial statements for Cornwall, Inc., are
shown here: Income Statement Balance Sheet Sales $ 7,400 Current
assets $ 4,100 Current liabilities $ 2,200 Costs 6,000 Fixed assets
9,800 Long-term debt 3,750 Taxable income $ 1,400 Equity 7,950
Taxes (34%) 476 Total $ 13,900 Total $ 13,900 Net income $ 924
Assets, costs, and current liabilities are proportional to sales.
Long-term debt and equity are not. The company maintains a constant
20 percent dividend payout ratio. As with...
The most recent financial statements for GPS, Inc., are shown here: Income Statement Balance Sheet Sales...
The most recent financial statements for GPS, Inc., are shown
here:
Income Statement
Balance Sheet
Sales
$22,300
Assets
$105,000
Debt
$33,600
Costs
16,000
Equity
71,400
Taxable income
$6,300
Total
$105,000
Total
$105,000
Taxes (30%)
1,890
Net
income
$4,410
Assets and costs are proportional to sales. Debt and equity are
not. A dividend of $1,610 was paid, and the company wishes to
maintain a constant payout ratio. Next year's sales are projected
to be $28,900.
Required:
What is the external financing...
The most recent financial statements for Cornwall, Inc., are shown here: Income Statement Balance Sheet Sales...
The most recent financial statements for Cornwall, Inc., are
shown here:
Income Statement
Balance Sheet
Sales
$
5,800
Current assets
$
2,500
Current liabilities
$
2,200
Costs
4,400
Fixed assets
8,100
Long-term debt
3,750
Taxable income
$
1,400
Equity
4,650
Taxes (34%)
476
Total
$
10,600
Total
$
10,600
Net
income
$
924
Assets, costs, and current liabilities are proportional to
sales. Long-term debt and equity are not. The company maintains a
constant 30 percent dividend payout ratio. As with...
The most recent financial statements for Cornwall, Inc., are shown here: Income Statement Balance Sheet Sales...
The most recent financial statements for Cornwall, Inc., are
shown here: Income Statement Balance Sheet Sales $ 5,800 Current
assets $ 2,500 Current liabilities $ 2,200 Costs 4,400 Fixed assets
8,100 Long-term debt 3,750 Taxable income $ 1,400 Equity 4,650
Taxes (34%) 476 Total $ 10,600 Total $ 10,600 Net income $ 924
Assets, costs, and current liabilities are proportional to sales.
Long-term debt and equity are not. The company maintains a constant
30 percent dividend payout ratio. As with...
The most recent financial statements for Astorino, Inc., are shown here: Income Statement Balance Sheet Sales...
The most recent financial statements for Astorino, Inc.,
are shown here:
Income Statement
Balance Sheet
Sales
$
26,900
Assets
$
63,700
Debt
$
27,900
Costs
18,800
Equity
35,800
Taxable income
$
8,100
Total
$
63,700
Total
$
63,700
Taxes (40%)
3,240
Net income
$
4,860
Assets and costs are proportional to sales. Debt is not.
Equity will change depending on how much retained earnings are
changing following a change in sales.
A dividend of $2,300 was paid, and...
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