$3$

Help

a$.$ Using a percent$-$of$-$sales method, determine whether Longbranch Western Wear has external financing needs. $($Input the amount as a positive value.$)$

The firm $$ needs $ $12600$ in external funds $.$

$10$ points

$$

References

b$.$ Prepare a pro forma balance sheet with any financing adjustment made to notes payable and excess, if any, shall reduce long term debt. $($Input all answers as positive values. Be sure to list the assets and liabilities in order of their liquidity. Do not leave any empty spaces; input a $0$ wherever it is required.$)$

c$.$ Calculate the current ratio and total debt to assets ratio for each year. $($Round the final onswers to $2$ decimal places.$)$

$\backslash$table$[[$Current ratio,Year $1,],[$Total debt$/$ assets,,Year $2]]$