Question
A company that does all its' business in cash projects that it will have $1000 cash balance at year end after paying all costs and
A company that does all its' business in cash projects that it will have $1000 cash balance at year end after paying all costs and taxes.
The management team wants to pay a dividend of $1200 which is not included in the cash projection above.
In addition to the dividend, the management team expects to invest $5900 in the next year.
How much net new financing is needed so that the company can pay the dividend and make the investment?
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Financial Management Principles And Applications
Authors: Arthur J. Keown, J. William Petty, John D. Martin, Jr. Scott, David F.
10th Edition
0131450654, 9780131450653
