Answers and step by step for Q3

Cash Accounts Receivable Inventory Fixed Assets 100 250 300 950 Accounts Payable Notes Payable Accruals Long-Term Debt Common Stock Retained Earnings Total Claims 250 150 200 200 300 500 1600 Total Assets 1600 Sales in 2018 were $2000 and they are projected to increase by 10% during 2019. Dividend payout ratio is 40%, and the net profit margin is 5%. i. What would be the Additional Funds Needed for 2019? ii. Prepare the Pro-Forma Balance Sheet for 2018 assuming that all the Additional Funds Needed is raised through Long-Term Debt. iii). Calculate the Current Ratio and Debt Ratio for 2019? 3. a) What is the Days Sales Outstanding (DSO) intended to measure. ABC Co. had sales of $7,300,000 in 2018 and DSO = 36 days. What was its Accounts Receivable? b) Identify some weaknesses associated with the use of the financial ratios in analyzing the c) Give 3 uses of financial ratios. d) Explain Debt Management and Asset Management Ratios, and aive two examples of each e) Trader Joe has a Current Ratio of 1.5, Current Liabilities of $200,000 and Inventory of $100 What is the firm's Quick Ratio? Cash Accounts Receivable Inventory Fixed Assets 100 250 300 950 Accounts Payable Notes Payable Accruals Long-Term Debt Common Stock Retained Earnings Total Claims 250 150 200 200 300 500 1600 Total Assets 1600 Sales in 2018 were $2000 and they are projected to increase by 10% during 2019. Dividend payout ratio is 40%, and the net profit margin is 5%. i. What would be the Additional Funds Needed for 2019? ii. Prepare the Pro-Forma Balance Sheet for 2018 assuming that all the Additional Funds Needed is raised through Long-Term Debt. iii). Calculate the Current Ratio and Debt Ratio for 2019? 3. a) What is the Days Sales Outstanding (DSO) intended to measure. ABC Co. had sales of $7,300,000 in 2018 and DSO = 36 days. What was its Accounts Receivable? b) Identify some weaknesses associated with the use of the financial ratios in analyzing the c) Give 3 uses of financial ratios. d) Explain Debt Management and Asset Management Ratios, and aive two examples of each e) Trader Joe has a Current Ratio of 1.5, Current Liabilities of $200,000 and Inventory of $100 What is the firm's Quick Ratio