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A company expects sales of $420 million next year assuming a 20% increase from the previous year. The firm anticipates $27.61 million in retained earnings
A company expects sales of $420 million next year assuming a 20% increase from the previous year. The firm anticipates $27.61 million in retained earnings after taxes and dividends have been paid, assuming that $1 million depreciation expense have been deducted. Working capital is expected to represent 40% of change in sales.
Determine the amount of surplus (or deficit) in funds
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