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( 1 ) The percents of sales for items that vary directly with sales are as follows: Accounts receivable; 1 2 . 5 % ,
The percents of sales for items that vary directly with sales are as follows: Accounts receivable; Inventory; ; Accounts payable, ; Net profit margin,
Marketable securities and other current liabilities will remain unchanged.
Peabody desires a minimum cash balance of $
Accruals will rise to $ by the end of
There will be no sale or retirement of longterm debt.
No sale or repurchase of common stock is expected.
The dividend payout of of net profits will continue.
The sales forecast predicts $ million in and $ million in
The December balance sheet is here
a Prepare a pro forma balance sheet dated December
b Discuss the financing changes suggested by the statement prepared in part a
a Prepare a pro forma balance sheet dated December
Complete the assets part of the pro forma balance sheet for Peabody & Peabody for December below: Round to the nearest dollar.
Pro Forma Balance Sheet
Peabody & Peabody
Data table
December
Assets
Current assets
Cash
Marketable securities
Accounts receivable
Inventories
Total current assets
Net fixed assets
Total assets
Click on the icon here in order to copy the contents of the data table below into a spreadsheet.
Peabody & Peabody Balance Sheet December
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