Carlsbad Corporation's sales are expected to increase from $5 million in 2019 to $6 million in 2020, or by 20%. Its assets totaled $2 million at the end of 2019. Carlsbad is at full capacity, so its assets must grow in proportion to projected sales. At the end of 2019, current liabilities are $1 million, consisting of $250,000 of accounts payable, $500,000 of notes payable, and $250,000 of accrued liabilities. Its profit margin is forecasted to be 3%.

1. Assume that the company pays no dividends. Use the AFN equation to forecast the additional funds Carlsbad will need for the coming year. Write out your answer completely. For example, 5 million should be entered as 5,000,000. Round your answer to the nearest dollar.
   $  
2. 
   
3. Why is this AFN different from the one when the company pays dividends?
   
   1. Under this scenario the company would have a higher level of retained earnings, which would reduce the amount of additional funds needed.
   2. Under this scenario the company would have a higher level of retained earnings, which would reduce the amount of assets needed.
   3. Under this scenario the company would have a higher level of spontaneous liabilities, which would reduce the amount of additional funds needed.
   4. Under this scenario the company would have a lower level of retained earnings, which would increase the amount of additional funds needed.
   5. Under this scenario the company would have a lower level of retained earnings, which would decrease the amount of additional funds needed.
   
   -Select-IIIIIIIVVItem 2

Carlsbad Corporation's sales are expected to increase from $5 million in 2019 to $6 million in 2020, or by 20%. Its assets totaled $4 million at the end of 2019. Carlsbad is at full capacity, so its assets must grow in proportion to projected sales. At the end of 2019, current liabilities are $1 million, consisting of $250,000 of accounts payable, $500,000 of notes payable, and $250,000 of accrued liabilities. Its profit margin is forecasted to be 3%.

1. Assume that the company pays no dividends. Use the AFN equation to forecast the additional funds Carlsbad will need for the coming year. Write out your answer completely. For example, 5 million should be entered as 5,000,000. Round your answer to the nearest dollar.
   $  
2. 
   
3. Why is this AFN different from the one when the company pays dividends?
   
   1. Under this scenario the company would have a higher level of retained earnings, which would reduce the amount of assets needed.
   2. Under this scenario the company would have a higher level of spontaneous liabilities, which would reduce the amount of additional funds needed.
   3. Under this scenario the company would have a lower level of retained earnings, which would increase the amount of additional funds needed.
   4. Under this scenario the company would have a lower level of retained earnings, which would decrease the amount of additional funds needed.
   5. Under this scenario the company would have a higher level of retained earnings, which would reduce the amount of additional funds needed.
   
   -Select-IIIIIIIVV

Carlsbad Corporation's sales are expected to increase from $5 million in 2019 to $6 million in 2020, or by 20%. Its assets totaled $3 million at the end of 2019. Carlsbad is at full capacity, so its assets must grow in proportion to projected sales. At the end of 2019, current liabilities are $1 million, consisting of $250,000 of accounts payable, $500,000 of notes payable, and $250,000 of accrued liabilities. Its profit margin is forecasted to be 7%.

1. Assume that the company pays no dividends. Use the AFN equation to forecast the additional funds Carlsbad will need for the coming year. Write out your answer completely. For example, 5 million should be entered as 5,000,000. Round your answer to the nearest dollar.
   $  
2. 
   
3. Why is this AFN different from the one when the company pays dividends?
   
   1. Under this scenario the company would have a lower level of retained earnings, which would increase the amount of additional funds needed.
   2. Under this scenario the company would have a lower level of retained earnings, which would decrease the amount of additional funds needed.
   3. Under this scenario the company would have a higher level of retained earnings, which would reduce the amount of additional funds needed.
   4. Under this scenario the company would have a higher level of retained earnings, which would reduce the amount of assets needed.
   5. Under this scenario the company would have a higher level of spontaneous liabilities, which would reduce the amount of additional funds needed.

Carlsbad Corporation's sales are expected to increase from $5 million in 2019 to $6 million in 2020, or by 20%. Its assets totaled $4 million at the end of 2019. Carlsbad is at full capacity, so its assets must grow in proportion to projected sales. At the end of 2019, current liabilities are $1 million, consisting of $250,000 of accounts payable, $500,000 of notes payable, and $250,000 of accrued liabilities. Its profit margin is forecasted to be 3%.

1. Assume that the company pays no dividends. Use the AFN equation to forecast the additional funds Carlsbad will need for the coming year. Write out your answer completely. For example, 5 million should be entered as 5,000,000. Round your answer to the nearest dollar.
   $  
2. 
   
3. Why is this AFN different from the one when the company pays dividends?
   
   1. Under this scenario the company would have a lower level of retained earnings, which would increase the amount of additional funds needed.
   2. Under this scenario the company would have a lower level of retained earnings, which would decrease the amount of additional funds needed.
   3. Under this scenario the company would have a higher level of retained earnings, which would reduce the amount of additional funds needed.
   4. Under this scenario the company would have a higher level of retained earnings, which would reduce the amount of assets needed.
   5. Under this scenario the company would have a higher level of spontaneous liabilities, which would reduce the amount of additional funds needed.

choose one

Carlsbad Corporation's sales are expected to increase from $5 million in 2019 to $6 million in 2020, or by 20%. Its assets totaled $4 million at the end of 2019. Carlsbad is at full capacity, so its assets must grow in proportion to projected sales. At the end of 2019, current liabilities are $1 million, consisting of $250,000 of accounts payable, $500,000 of notes payable, and $250,000 of accrued liabilities. Its profit margin is forecasted to be 5%.

1. Assume that the company pays no dividends. Use the AFN equation to forecast the additional funds Carlsbad will need for the coming year. Write out your answer completely. For example, 5 million should be entered as 5,000,000. Round your answer to the nearest dollar.
   $  
2. 
   
3. Why is this AFN different from the one when the company pays dividends?
   
   1. Under this scenario the company would have a lower level of retained earnings, which would decrease the amount of additional funds needed.
   2. Under this scenario the company would have a higher level of retained earnings, which would reduce the amount of additional funds needed.
   3. Under this scenario the company would have a higher level of retained earnings, which would reduce the amount of assets needed.
   4. Under this scenario the company would have a higher level of spontaneous liabilities, which would reduce the amount of additional funds needed.
   5. Under this scenario the company would have a lower level of retained earnings, which would increase the amount of additional funds needed.
   
   

Carlsbad Corporation's sales are expected to increase from $5 million in 2019 to $6 million in 2020, or by 20%. Its assets totaled $4 million at the end of 2019. Carlsbad is at full capacity, so its assets must grow in proportion to projected sales. At the end of 2019, current liabilities are $1 million, consisting of $250,000 of accounts payable, $500,000 of notes payable, and $250,000 of accrued liabilities. Its profit margin is forecasted to be 7%.

1. Assume that the company pays no dividends. Use the AFN equation to forecast the additional funds Carlsbad will need for the coming year. Write out your answer completely. For example, 5 million should be entered as 5,000,000. Round your answer to the nearest dollar.
   $  
2. 
   
3. Why is this AFN different from the one when the company pays dividends?
   
   1. Under this scenario the company would have a higher level of spontaneous liabilities, which would reduce the amount of additional funds needed.
   2. Under this scenario the company would have a lower level of retained earnings, which would increase the amount of additional funds needed.
   3. Under this scenario the company would have a lower level of retained earnings, which would decrease the amount of additional funds needed.
   4. Under this scenario the company would have a higher level of retained earnings, which would reduce the amount of additional funds needed.
   5. Under this scenario the company would have a higher level of retained earnings, which would reduce the amount of assets needed.

Use the AD/AS model to speculate what happened with rGDP and inflation during the COVID-19 pandemic and quarantine from March 2020 to July 2020. Here's a link to an interesting article on consumer spending behavior (Links to an external site.) to get you started.

1. An analysis on the COVID-19 pandemic using the AD/AS model, including thorough explanation of the relevant shifters of the AD and/or AS model.
2. A detailed explanation of what may happen to inflation and rGDP as a result of your analysis.

Hill Incorporated purchased metal to build a new roller coaster on December 31, 2020. Hill provided a $500,000 down payment and agreed to pay the balance in equal instalments of $340,000 every December 31 for five years. Hill could have received a loan from the bank for this amount at 9% interest.

1.Prepare the journal entries that would be recorded for the purchase and for the payments and interest on December 31, 2020, 2021, 2022, 2023, 2024, and 2025.

Find the following present values on October 31, 2020.

a) Canadian T-bill maturing for $1.2 million in 273 days based on a yield rate of 1.25%

b) $10,000 due on March 31, 2025 at a force of interest of 5%

c) $3,600 due on April 30, 2022 at a nominal rare of discount of 6%, compounded 6 times a year.

d) Payments on $10,000 made every November 1 from 2020 to 2025 at 6.5% interest.