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#2) (4 Marks) Peter Ltd has the following Balance Sheet excerpt: Peter Ltd Balance Sheet December 31, 2020 ASSETS $50,000 200,000 450,000 350,000 Current Assets

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#2) (4 Marks) Peter Ltd has the following Balance Sheet excerpt: Peter Ltd Balance Sheet December 31, 2020 ASSETS $50,000 200,000 450,000 350,000 Current Assets Cash S.T. Investments A/R Inventory Total Non-Current Assets L.T. Investments Equipment (Net) Total Total Assets $1,050,000 $500,000 550,000 1,050,000 $2,100,000 Notes: Assume 60% of Current Assets are permanent in nature. ST Interest Rates are 5% LT Interest Rates are 10% EBIT is: $1,000,000 Tax Rate: 25% of EBT Prepare a perfectly hedged financial plan and project the ending EAT

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