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can anyone help Problem 4-27 Percent-of-sales method [LO4-3) Owen's Electronics has nine operating plants in seven southwestern states. Sales for last year were $100 million,
can anyone help
Problem 4-27 Percent-of-sales method [LO4-3) Owen's Electronics has nine operating plants in seven southwestern states. Sales for last year were $100 million, and the balance sheet at year end is similar in percentage of sales to that of previous years and this will continue in the future) All assets (including fixed assets) and current liabilities will vary directly with sales. The firm is working at tull capacity Balance Sheet (millions) Assets Llabilities and stockholders' Equity Cash $15 Accounts payable $17 Accounts receivable 31 Accrued wages Inventory 32 Accrued taxes 12 Current assets $75 Current liabilities $32 Fixed assets de Notes payable Connon stock Retained earnings Total Assets 5 124 Total liabilities and stockholders' quity $124 15 59 Owen's Electronics has an aftertax profit margin of 8 percent and a dividend payout ratio of 45 percent if sales grow by 20 percent next year determine how many doilars of new funds are needed to finance the growth (Do not round intermediate calculations. Enter your answer in dollars, not millions, le.g. $1,234,567) New funds Step by Step Solution
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