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CHAPTER REVIEW AND SELF-TEST PROBLEMS 4.1 Calculating EFN Based on the following information for the Skandia Mining Company, what is EFN if sales are predicted

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CHAPTER REVIEW AND SELF-TEST PROBLEMS 4.1 Calculating EFN Based on the following information for the Skandia Mining Company, what is EFN if sales are predicted to grow by 10 percent? Use the percentage of sales approach and assume the company is operating at full capacity. The payout ratio is constant SKANDIA MINING COMPANY Financial Statements Income Statement Balance Sheet Assets Liabilities and Owners' Equity Sales $4,250.0 Current assets $ 900.0 Current abilities $ 500.0 costs 3.9307 Net fixed assets 2.200.0 Long term debt 1.800.0 Taxable income $ 3133 Totat assets Owners' equity 8000 Taxes (2196) 05.8 Total liabilities and owners Net income $ 2475 $3,100,0 equity $3.100.0 Dividends $ 82.0 Addition to retained earnings 1649 EFN and Capacity Based on the information in Problem .. what is EEN assuming 60 persent capacity ange for net fixed lisse Ass 9 percent capacity Sustainable Growth Based on the information Problem 41 what the con Skandis maintain if no external financing is used What is the other 42 43

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