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Broussard Skateboards sales are expected to increase by 20% in 2020 from $5 million in 2019. Its assets totaled $10 million at the end of
Broussard Skateboards sales are expected to increase by 20% in 2020 from $5 million in 2019. Its assets totaled $10 million at the end of 2019. Broussard is already at full capacity, so its assets must grow at the same rate as projected sales. At the end of 2019, spontaneous liabilities were $1.5 million. The after-tax profit is forecasted to be $300,000, and the forecasted dividend is $75,000. Use the AFN equation to forecast Broussards additional funds needed for the coming year.
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